# RSI Regime Filter

RSI Regime Filter is an indicator on [Vela](https://vela.luxalgo.com/chart), our next-generation charting platform, written in Pine Script®.

The RSI Regime Filter can validate classic RSI signals against a live classification of market conditions: with its regime filter enabled (off by default), divergences and overbought/oversold cues plot only when the selected method reads a neutral market. Four regime methods (RSI, EMA trend, ADX, or a composite vote), volume bubbles at extremes, and a context dashboard - for oscillator traders tired of fading runaway trends.

- Indicator in the LuxAlgo Library, by LuxAlgo, published Aug 4, 2026.
- Access: free.
- Concepts: [RSI](https://www.luxalgo.com/library/concept/rsi/) (primary), [Trend/range Classifiers](https://www.luxalgo.com/library/concept/trend-range-classifiers/)
- Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=bls5ywlces35686dayyl9v6a
- Page: https://www.luxalgo.com/library/indicator/rsi-regime-filter/

**RSI Regime Filter** takes the signals every oscillator trader knows - divergences and overbought/oversold entries - and, once its RSI Regime Filter setting is enabled (it is off by default), checks each one against a classification of the broader market before it reaches your chart. A [momentum-family](https://www.luxalgo.com/library/family/momentum/) build at heart, its edge is context: four selectable regime methods (RSI level, EMA trend, ADX direction, or a composite vote) judge whether conditions are ranging enough for mean-reversion signals to make sense, suppressing setups that amount to catching a falling knife.

## How to Trade the RSI Regime Filter?

- **Divergences in neutral regimes**: bullish and bearish divergences are detected at confirmed price swing lows and highs by comparing the RSI readings at those bars; with the filter on, they plot only when the active method reads the market as neutral at both swings.
- **Volume bubbles at extremes**: when the RSI enters overbought or oversold territory, bubbles sized by relative volume appear - larger bubbles mean heavier participation behind the extreme.
- **Dashboard before decisions**: the on-chart panel summarizes the current RSI value, ADX strength, and EMA positioning, so the active regime is always one glance away.

## RSI Regime Filter Settings

- **RSI length, Overbought level, Oversold level**: the core calculation and the thresholds that define extremes.
- **Pivot left bars / Pivot right bars**: bars required on each side of a pivot before divergences are drawn from it.
- **Require RSI extreme**: accepts only divergences that form in overbought or oversold conditions.
- **Regime method**: picks the classification logic, tuned by **EMA length**, **DMI length**, **ADX smoothing**, and **ADX trend threshold**.
- **RSI Regime Filter**: toggles the signal filtering itself; display options (divergence boxes, 50-level markers, OB/OS bubbles, trend-strength candle coloring, regime chart coloring) each carry their own toggle.

## Frequently Asked Questions

### How is this different from a standard RSI indicator?
A plain [Relative Strength Index](https://www.luxalgo.com/library/indicator/relative-strength-index/) reports momentum and leaves the context to you. This build wraps the same oscillator in a regime engine, so divergence and extreme-level signals are shown or suppressed according to the regime in force at the time.

### Which regime method should I start with?
The Composite vote is the most demanding option because it requires consensus across the RSI, EMA, and ADX components before declaring a trend. The single-method choices respond faster but rest on one measurement alone.

### How do I get the RSI Regime Filter?
It is free in the LuxAlgo Library - add it to your chart from this page, or run and backtest it in Quant, our coding agent, without leaving the page. You can also copy the source code from this page and run it anywhere Pine Script® runs.

## Related indicators

- [RSI Multi Length](https://www.luxalgo.com/library/indicator/rsi-multi-length/) (RSI): markdown at https://www.luxalgo.com/library/indicator/rsi-multi-length.md
- [RSI Candlestick Oscillator](https://www.luxalgo.com/library/indicator/rsi-candlestick-oscillator/) (RSI): markdown at https://www.luxalgo.com/library/indicator/rsi-candlestick-oscillator.md
- [RSI Prediction by Range Segmentation](https://www.luxalgo.com/library/indicator/rsi-prediction-by-range-segmentation/) (RSI): markdown at https://www.luxalgo.com/library/indicator/rsi-prediction-by-range-segmentation.md
- [RSI Divergence: Out-of-Sample Optimizer](https://www.luxalgo.com/library/indicator/rsi-divergence-out-of-sample-optimizer/) (RSI): markdown at https://www.luxalgo.com/library/indicator/rsi-divergence-out-of-sample-optimizer.md
- [Inertial RSI](https://www.luxalgo.com/library/indicator/inertial-rsi/) (RSI): markdown at https://www.luxalgo.com/library/indicator/inertial-rsi.md
- [Ultimate RSI](https://www.luxalgo.com/library/indicator/ultimate-rsi/) (RSI): markdown at https://www.luxalgo.com/library/indicator/ultimate-rsi.md
- [Market State Matrix](https://www.luxalgo.com/library/indicator/market-state-matrix/) (Trend/range Classifiers): markdown at https://www.luxalgo.com/library/indicator/market-state-matrix.md
- [Chaos Weighted RSI](https://www.luxalgo.com/library/indicator/chaos-weighted-rsi/) (RSI): markdown at https://www.luxalgo.com/library/indicator/chaos-weighted-rsi.md

---

Source: https://www.luxalgo.com/library/indicator/rsi-regime-filter/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/
