stelaraX - Stoch RSI Dual Momentum

stelaraX – Stoch RSI Dual Momentum

stelaraX – Stoch RSI Dual Momentum is a dual-oscillator momentum indicator designed to highlight high-conviction overbought and oversold conditions when RSI and Stochastic simultaneously reach extreme zones. It adds simple reversal triggers when both indicators exit the extreme area, helping traders time potential mean-reversion swings more selectively.

This indicator is part of the stelaraX ecosystem, focused on clean technical analysis and AI-supported chart evaluation
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Core logic

The script calculates a standard RSI and a classic Stochastic oscillator and then checks whether both are concurrently in their configured extreme ranges. Reversal signals are generated when a prior dual-extreme condition disappears, indicating momentum relaxation.

Key principles:

* RSI measures momentum via recent average gains versus losses
* Stochastic %K measures price position within its recent high–low range
* dual overbought occurs when RSI and %K are both above their overbought thresholds
* dual oversold occurs when RSI and %K are both below their oversold thresholds
* bullish reversal triggers when dual oversold was active on the prior bar and then turns off
* bearish reversal triggers when dual overbought was active on the prior bar and then turns off

This approach requires confluence across two momentum models, filtering many single-indicator extremes.

Visualization

The script plots:

* the RSI line in a separate indicator pane
* Stochastic %K and %D lines for momentum confirmation
* dashed reference levels for RSI overbought and oversold thresholds
* a neutral midline for context
* background highlighting during dual-extreme states
* triangle markers for bullish and bearish reversal events
* alert conditions for both reversal types

This layout makes dual-extreme confluence and exit-based reversal triggers easy to track.

Use case

This indicator is intended for:

* identifying high-conviction momentum extremes via RSI + Stochastic confluence
* timing mean-reversion entries after extremes relax
* filtering countertrend trades by requiring dual confirmation
* spotting momentum exhaustion within broader trend moves
* supporting discretionary and AI-assisted chart evaluation workflows

It works best when combined with trend filters or structure context to avoid fading strong trends blindly.

Disclaimer

This indicator is provided for educational and technical analysis purposes only and does not constitute financial advice or trading recommendations. All trading decisions and risk management remain the responsibility of the user.