RSI/VIX Reversal Signal (StevenCharts) [BETA]

The RSI/VIX Reversal Signal (StevenCharts) is a specialized mean-reversion indicator that combines technical momentum (RSI) with market sentiment data (VIX).

While standard RSI strategies often fail by catching "falling knives" during strong trends, this indicator filters setups by requiring a specific volatility environment. It identifies moments of extreme fear (High VIX + Oversold RSI) or extreme complacency (Low VIX + Overbought RSI) to pinpoint high-probability reversal zones.

How It Works
This script operates on a two-step confirmation logic to prevent premature entries:

The Trigger (Blue Dot): The indicator first identifies an extreme condition.

Potential Buy: Price is Oversold while Volatility is elevated. This indicates panic selling.

Potential Sell: Price is Overbought while Volatility is suppressed. This indicates market complacency.

The Signal (Triangle Label): Once a trigger is detected, the script waits for Price Action Confirmation.

It will not print a Green Buy Label until a green candle actually closes.

It will not print a Red Sell Label until a red candle actually closes.

Key Features
Dual-Factor Analysis: Filters out weak RSI signals by demanding VIX confirmation.

Stateful Logic: Remembers if a trigger condition was met and patiently waits for the reversal candle before signaling.

Timeframe Noise Filter: Includes a built-in setting to automatically hide signals on lower timeframes to focus on macro reversals.

Data Table: An optional dashboard that displays real-time VIX values, RSI values, and Overbought/Oversold status directly on your chart.

How to Use
Buying the Fear: Look for the Green Triangle. This signals that panic selling has likely exhausted itself and buyers are stepping back in.

Selling the Greed: Look for the Red Triangle. This signals that the market is overextended and volatility is too low to sustain the move.

Blue Dots: Treat these as "Warning Shots." They tell you a setup is building, but the reversal hasn't confirmed yet.