Artemis Adaptive RSI

The Artemis Adaptive RSI indicator is a self-tuning volatility oscillator that optimizes its own period and thresholds by backtesting a fleet of 60 RSI variants against forward-return performance on a rolling window. It automatically identifies the most effective oversold and overbought levels for the current market regime, providing traders with an adaptive mean-reversion tool that reduces the need for manual parameter adjustments.

Usage

The Usage section describes how the script can be used to navigate different market environments. Because the script is self-tuning, it provides different signals based on the detected market regime:

• Mean-Reversion: In "Range" or "Calm" regimes, use the triangle trigger markers (▲/▼). A triangle appears when the RSI crosses the adaptive thresholds, signaling a potential reversal point based on recent performance data.
• Trend Following: In "Trending" regimes, the optimizer often selects longer periods and wider thresholds. Traders should look for the RSI line color (Bullish/Bearish bias) to confirm trend direction rather than strictly trading every overbought or oversold touch.
• Divergence Trading: Use the pivot-based labels (D▲/D▼ for reversal, H▲/H▼ for continuation) to find discrepancies between price and momentum. The "Smart AI Filter" can be enabled to filter out low-quality divergences that do not meet minimum RSI or price swing requirements.

Details

The script's core logic is built upon a competitive "fleet" of 15 RSI variants, each smoothed using an Ehlers two-pole Butterworth filter (Supersmoother) to reduce noise without significant lag. These variants are combined with 4 threshold tiers to create a 60-slot optimization grid.

The optimizer scores each slot based on the average return of its signals over a forward-looking horizon. A hysteresis mechanism ("Switch Margin") prevents the script from changing settings too frequently on every minor price fluctuation. A five-state regime classifier (Adapting, Noisy, Trending, Range, Calm) further interprets the market state based on the parameters the optimizer has selected.

Settings

Adaptation Core

• Optimization Lookback (bars): The size of the rolling window used to evaluate the 60 RSI candidates.
• Forward-Return Eval Horizon: The number of bars forward used to measure the success of a mean-reversion trigger.
• Switch Margin (%): The percentage by which a new candidate must outperform the current one to trigger a settings update.
• Min Triggers per Candidate: The minimum sample size required for a candidate to be considered eligible for selection.

Divergence

• Pivot Arm: The number of bars on each side required to confirm a price pivot.
• Smart Divergence Filter (AI): A master toggle that enables filtering logic based on RSI swing, price swing, and zone confirmation.
• Min RSI Swing: The minimum point difference required between two RSI pivots to validate a divergence.
• Require Zone Confirmation: When enabled, divergences are only valid if the RSI is within the adaptive overbought or oversold zones.

Visuals & Dashboard

• Theme: Selection of 12 color palettes that update all lines, labels, and dashboard elements.
• Bar Color Mode: Options to color price bars based on the adaptive RSI zones.
• Show Dashboard: Toggles the information panel displaying the active RSI length, smoothing, thresholds, and current score.

FAQ

How do I interpret the "Regime Label"? The label indicates the current market phase identified by the optimizer. "Range" suggests RSI triggers are highly reliable, while "Trending" suggests the market is in a strong move where RSI extremes may persist for longer durations.

What does the "Smart AI Filter" do for divergences? It acts as a quality gate, removing "noisy" divergences where the price or RSI has moved too little to be significant. It ensures that only divergences occurring at adaptive extremes are shown.

How can I access the Artemis Adaptive RSI? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.