# Participation Divergence at Index Highs Grades every new index high against participation witnesses (the share of members above their 200-day average and an equal-weight ratio by default) and flags highs no witness confirms. Persistent divergence arms a regime that resolves as a repair or a structure break below the last swing low. For index traders watching breadth at the highs. - Indicator in the LuxAlgo Library, by LuxAlgo, published Apr 11, 2026. - Access: free. - Concepts: [Participation Divergence at Index Highs](https://www.luxalgo.com/library/concept/participation-divergence-at-index-highs/) (primary) - Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=x8i3k6e0imfyqf1dxnghscg6 - Page: https://www.luxalgo.com/library/indicator/participation-divergence-at-index-highs/ **Participation Divergence at Index Highs** grades every new index high against the breadth beneath it, the warning read of [participation divergence at index highs](https://www.luxalgo.com/library/concept/participation-divergence-at-index-highs/). Index and witnesses are rescaled to their own lookback ranges on one 0–100 pane, where a series prints 100 exactly at a fresh high. Highs no witness confirms count as non-confirmed; enough inside a rolling window arm a regime that ends in a repair or a structure break. ## How to Trade the Participation Divergence at Index Highs? - **Non-confirmed high (triangle)**: the index printed or pressed a high and no witness printed its own in time: leadership is narrowing. - **Armed regime (tinted background)**: three non-confirmed highs inside 20 bars by default. Tighten risk but wait for the trigger. - **Structure break (cross)**: a close below the last swing low while armed, the price trigger. - **Divergence repaired (circle)**: every witness printed a fresh high and the regime dissolves. Divergence requires every enabled witness to fail: disagreement reads as noise; the dashboard grades each witness, and all five events carry alerts. ## Participation Divergence at Index Highs Settings - **Index Source** (default close) and **New-High Lookback** (default 252). - **Pressing Tolerance %** (default 0): bars this close to the prior high count as pressing it. - **Witness 1** (default INDEX:S5TH); **Witness 2** (enabled, AMEX:RSP), with **Witness 2 as Ratio to Chart Symbol** (enabled). - **Participation Timeframe** (default empty = chart): higher-timeframe witnesses sample the last completed bar, no repaint. - **Confirmation Window** (default 10): the witness deadline. - **Persistence** (default 3) and **non-confirmed highs within** (default 20): the arming threshold. - **Support Pivot Length** (default 5): the swing low behind the structure-break trigger. - **Show Dashboard**, **Participation Gap Gradient**, **Chart Markers** (all enabled); **Mark Confirmed Highs** (disabled). ## Frequently Asked Questions ### How is this different from a breadth omen signal? Omen-style signals such as [Breadth Omens](https://www.luxalgo.com/library/indicator/breadth-omens/) are fixed warnings computed on internals alone. This build is a configurable grader: it scores each index high against your witnesses and demands a price trigger first. ### Which witnesses should I use? The defaults pair a members-above-200-day series with the equal-weight-versus-cap-weight ratio. INDEX:S5FI and INDEX:MMTH are common substitutes. ### Does a persistent divergence mean the top is in? No. Divergences can persist while the index rises, so the build arms a regime rather than calling a reversal; a repair dissolves it, a structure break converts it into a price signal. ## Related indicators - [Market Breadth Toolkit](https://www.luxalgo.com/library/indicator/market-breadth-toolkit/) (Advance/decline Internals): markdown at https://www.luxalgo.com/library/indicator/market-breadth-toolkit.md - [TICK Arbitrage Toolkit](https://www.luxalgo.com/library/indicator/tick-arbitrage-toolkit/) (TICK Index): markdown at https://www.luxalgo.com/library/indicator/tick-arbitrage-toolkit.md - [Up/down Volume](https://www.luxalgo.com/library/indicator/up-down-volume/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/up-down-volume.md - [Volume Bubbles & Liquidity Heatmap](https://www.luxalgo.com/library/indicator/volume-bubbles-liquidity-heatmap/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/volume-bubbles-liquidity-heatmap.md - [Crypto Liquidation Heatmap](https://www.luxalgo.com/library/indicator/crypto-liquidation-heatmap/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/crypto-liquidation-heatmap.md - [Liquidation Levels](https://www.luxalgo.com/library/indicator/liquidation-levels/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/liquidation-levels.md - [Bitcoin Power Law Clock](https://www.luxalgo.com/library/indicator/bitcoin-power-law-clock/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/bitcoin-power-law-clock.md - [Bitcoin Power Law](https://www.luxalgo.com/library/indicator/bitcoin-power-law/) (Breadth, Sentiment & External Data): markdown at https://www.luxalgo.com/library/indicator/bitcoin-power-law.md --- Source: https://www.luxalgo.com/library/indicator/participation-divergence-at-index-highs/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/