# Hidden Divergence Hidden Divergence is an indicator on [Vela](https://vela.luxalgo.com/chart), our next-generation charting platform, written in Pine Script®. Scans confirmed price swings against RSI, Stochastic, CCI, MACD or any external series for hidden divergence, a higher low in price against a lower oscillator low and the bearish mirror, gated by a structure (HH/HL) or higher-timeframe MA trend filter. Signals draw lines on both panes, label the confirming swing, and anchor dashed invalidation levels. Defaults: RSI 14 with 5/5 swing confirmation. - Indicator in the LuxAlgo Library, by LuxAlgo, published Jun 22, 2026. - Access: free. - Concepts: [Hidden Divergence](https://www.luxalgo.com/library/concept/hidden-divergence/) (primary) - Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=ohb2b1gmjq5c93iyb4g48jgk - Page: https://www.luxalgo.com/library/indicator/hidden-divergence/ **Hidden Divergence** is the definitive clean scanner for [hidden divergence](https://www.luxalgo.com/library/concept/hidden-divergence/), the continuation geometry where the oscillator, rather than price, owns the more extreme print. At confirmed swing lows it looks for price defending a higher low while the gauge prints a lower low; at swing highs, for a lower price high against a higher oscillator high. A trend filter enforces the precondition (there must be a trend to continue) and each signal draws its lines on both panes, labels the confirming swing, and extends a dashed invalidation level from the anchoring pivot. ## How to Trade the Hidden Divergence? - **Hidden Bull label**: a pullback in an uptrend pushed the oscillator under its prior swing low while price held a higher low, continuation entry timing. - **Hidden Bear label**: the downtrend mirror, printed at a lower high. - **Invalidation level break**: a close beyond the anchoring swing falsifies the premise; the level stops extending and the alert fires. - **No trend, no signal**: the default structure filter demands a prior higher high before hidden bullish, a prior lower low before hidden bearish. Alerts cover both signal types and both invalidations. ## Hidden Divergence Settings - **Oscillator** (default RSI) with **Length** (default 14): the momentum gauge whose swings are compared. - **MACD Fast / Slow / Signal** (defaults 12 / 26 / 9): for the MACD modes. - **External Source** (default close): scan any other indicator's plot. - **Left Bars / Right Bars** (defaults 5 / 5): swing confirmation requirements. - **Max Bars Between Swings** (default 60): swings further apart are not compared. - **Trend Filter** (default Structure (HH/HL)): swing structure, a higher-timeframe average (**MA Timeframe** D, **Length** 50, **MA Type** EMA), or none. - **Style toggles**: oscillator lines, price lines, labels and invalidation levels, all on. ## Frequently Asked Questions ### How is hidden divergence different from regular divergence? In regular divergence price owns the extreme print and the pattern hunts turns; in the hidden variant the oscillator owns it, showing the trend soaked up the counter-move. The [Divergence Variants & Confirmation](https://www.luxalgo.com/library/indicator/divergence-variants-and-confirmation/) build lays the full grammar out side by side. ### Why do signals appear bars after the swing? A swing only exists once the required bars have printed on its right side (five by default) so detection carries that delay. Deliberately so: lines drawn to unconfirmed pivots would repaint. ### Which oscillator should I pick? The geometry is identical across all of them, so the choice is cadence: RSI at 14 is the balanced default, smoother gauges print fewer but cleaner patterns, External scans any plotted series. ## Related indicators - [Oscillator Matrix](https://www.luxalgo.com/library/indicator/luxalgo-oscillator-matrix/) (Regular Bullish/bearish Divergence): markdown at https://www.luxalgo.com/library/indicator/luxalgo-oscillator-matrix.md - [RSI Divergence: Out-of-Sample Optimizer](https://www.luxalgo.com/library/indicator/rsi-divergence-out-of-sample-optimizer/) (Regular Bullish/bearish Divergence): markdown at https://www.luxalgo.com/library/indicator/rsi-divergence-out-of-sample-optimizer.md - [HTF Reversal Divergences](https://www.luxalgo.com/library/indicator/htf-reversal-divergences/) (Regular Bullish/bearish Divergence): markdown at https://www.luxalgo.com/library/indicator/htf-reversal-divergences.md - [Divergence Variants & Confirmation](https://www.luxalgo.com/library/indicator/divergence-variants-and-confirmation/) (Momentum & Oscillators): markdown at https://www.luxalgo.com/library/indicator/divergence-variants-and-confirmation.md - [LuxAlgo - Screener (OSC)](https://www.luxalgo.com/library/indicator/luxalgo-screener-osc/) (Regular Bullish/bearish Divergence): markdown at https://www.luxalgo.com/library/indicator/luxalgo-screener-osc.md - [RSI Candlestick Oscillator](https://www.luxalgo.com/library/indicator/rsi-candlestick-oscillator/) (Overbought/oversold): markdown at https://www.luxalgo.com/library/indicator/rsi-candlestick-oscillator.md - [Adaptive Bounds RSI](https://www.luxalgo.com/library/indicator/adaptive-bounds-rsi/) (Overbought/oversold): markdown at https://www.luxalgo.com/library/indicator/adaptive-bounds-rsi.md - [Momentum Expansion vs Contraction](https://www.luxalgo.com/library/indicator/momentum-expansion-vs-contraction/) (Momentum & Oscillators): markdown at https://www.luxalgo.com/library/indicator/momentum-expansion-vs-contraction.md --- Source: https://www.luxalgo.com/library/indicator/hidden-divergence/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/