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Bullish RSI Divergence

Overview

This profile surfaces groups where over half of all companies show confirmed bullish RSI divergence, typically signaling exhaustion of downside momentum or the formation of structural reversal setups. It highlights clusters of hidden strength across themes and industries and ranks them by the percentage of confirmed divergences.

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This profile filters for Positive RSI Divergence 14D (%) > 50, identifying groups in which more than 50% of the companies have confirmed bullish RSI divergence in the last 1–2 days. Results are sorted by divergence percentage in descending order.

Strategy Focus

  • Identify reversal clusters within industries and themes based on widespread bullish divergence
  • Target oversold groups that may be preparing for trend shifts or breakout attempts
  • Combine divergence with volume and rating signals to confirm timing and strength
  • Monitor pre-market or intraday bounce activity to validate structural potential
  • Prioritize high-divergence groups with upcoming earnings, strong risk/reward setups, or accumulation
  • Use divergence as a precursor to rotation, especially in broader corrective phases

Filters Applied

This profile applies a single structural filter:

  • Positive RSI Divergence 14D (%) > 50: Includes only groups where more than 50% of constituent companies show confirmed bullish RSI divergence over the past 1–2 days.

This condition highlights clusters of hidden strength and structural support beneath the surface.

Metrics Used

Structural Divergence Signal

  • Positive RSI Divergence 14D (%): Percentage of companies in the group with confirmed bullish RSI divergence — the core signal used for filtering and sorting.

Group Identity & Context

  • Industry / Theme: Classifies each group as an industry or macro theme.
  • Tickers: Total number of companies in each group.

Price Behavior

  • Change Pre (%): Pre-market move — signals early confirmation or continuation of reversal strength.
  • Change From Close (%): Regular session movement — helps verify if divergence is translating into actual recovery.

Ratings & Strength Scores

  • Group Rating 1 Day: Real-time group momentum based on price and structural behavior today.
  • Group Rating 1 Year: Long-term strength trend — helps differentiate reversal candidates from persistent laggards.

Relative Strength Participation

  • Rel. Strength 1 Day 90+ (%): Percent of companies showing strong performance today.
  • Rel. Strength 1 Year 90+ (%): Percent with consistent long-term strength — may support breakout follow-through.

Volume & Participation

  • Total Volume (%): Share of total market volume — used to validate participation.
  • Relative Volume: Intraday volume compared to average — useful in confirming reversals or surges.

Return Context

  • Return Year to Date (%): YTD return — helps contextualize divergence setups within longer-term moves.

Fundamental Support

  • EPS Rating: Earnings consistency — confirms setup quality in recovering groups.
  • Sales Rating: Revenue growth — useful for spotting strong reversals in fundamentally supported groups.
  • Profit Rating: Margin strength — may support long setups with risk-managed bias.
  • Accumulation/Distribution Score: Institutional activity trend — helps validate accumulation during reversal.

Earnings Catalyst & Setup Confirmation

  • Reports Earnings Within 1 Week: Identifies upcoming reports that may reinforce or disrupt divergence setups.
  • Top Alpha Setups: AI-validated setups — supports conviction when divergence aligns with AI structural filters.

Additional Structure

  • Last Price > Prev. High (%): Percent of companies confirming reversal via breakout.
  • Last Price < Prev. Low (%): Can help confirm whether the reversal signal has failed or not yet triggered.
  • Tight Range (%): Compression zones — useful in identifying low-volatility areas about to resolve post-divergence.

Default Sorting Logic

Results are sorted by Positive RSI Divergence 14D (%) in descending order — highlighting the groups with the widest structural bullish signal concentration.

Practical Use Cases

  • Identify groups with widespread reversal potential following a downtrend or correction
  • Build watchlists of divergence-backed recovery candidates for intraday or swing setups
  • Use Ticker Screener to dive into constituent stocks with confirmed divergence signals
  • Open Multi-Charts to examine structure and trend development across divergence clusters
  • Monitor post-divergence breakouts, volume, and risk/reward overlays in Group Viewer
  • Track pre-earnings divergence setups for groups with upcoming catalysts