Cardwell Positive/negative Reversals

Cardwell Positive/negative Reversals is the first dedicated build of Cardwell positive and negative reversals, the RSI patterns that side with the trend rather than fade it. Price swings confirmed by a 5-bar pivot are read against a 14-period RSI: a higher price low on a lower RSI low prints a Positive Reversal, a lower price high on a higher RSI high a Negative Reversal, each drawn on both charts with its measured objective.

How to Trade the Cardwell Positive/negative Reversals?

• Positive Reversal: price held a higher low while RSI made a lower low — bullish continuation, the target above is the minimum objective.
• Negative Reversal: RSI out-performed price at a lower high — bearish continuation toward the target below.
• Regime Read: the dashboard counts recent patterns; the dominant side argues for that regime.

Patterns confirm five bars after the second swing; alerts cover patterns and target hits, complementing the momentum family.

Cardwell Positive/negative Reversals Settings

• RSI Length (default 14) and Source (default close): the RSI being read.
• Swing Pivot Length (default 5): bars each side an extreme must dominate.
• Max Bars Between Swings (default 60): wider pairs are ignored.
• Signals (default Both): restrict to one side.
• Mid-Range Swings Only (default enabled): both RSI swings must sit outside the extremes.
• Overbought Level / Oversold Level (defaults 70 / 30): the checked extremes.
• Trend Filter (default enabled), Trend SMA Length (default 200): the second swing must close trend-side of the SMA.
• Show Price Targets (default enabled), Target Expiry (default 250): unreached lines expire after these bars.
• Show Dashboard (default enabled): Regime Window (default 500), Location (Top Right), Size (Small).
• Pattern Lines, Price Swing Lines, Signal Labels: all on by default.

Frequently Asked Questions

How do reversals differ from hidden divergence?

A positive reversal is what many traders call hidden bullish divergence, the general form the hidden divergence build detects. This tool is specific to Cardwell's RSI framework: trend and mid-range filters plus a measured objective on every signal.

Why require mid-range swings by default?

Cardwell observed reversals developing away from the extremes; deep overbought or oversold swings associate more with regular divergences. Disable the filter to accept the geometry anywhere.

How should the targets be treated?

As minimum objectives, not forecasts. Lines extend until tagged — firing an alert — or expire after the Target Expiry window.