SignalViper Snap

Snap — Momentum Divergence & Exhaustion Warnings

Snap is a momentum divergence detection tool designed to highlight situations where price movement and momentum behavior begin to disagree. These conditions often occur during trend fatigue, overextension, or early transition phases, and can serve as a warning that directional pressure may be weakening.

Rather than predicting reversals, Snap focuses on identifying loss of momentum confirmation relative to price.

Core Concepts & Logic

Snap evaluates the relationship between price movement and a momentum-based measure to identify divergence scenarios such as:

Bearish Divergence
Price continues higher while momentum strength fails to confirm, suggesting reduced buying pressure.

Bullish Divergence
Price continues lower while momentum weakness diminishes, indicating potential selling exhaustion.

These conditions highlight risk asymmetry changes, not guaranteed outcomes.

Indicator Families Used

Snap belongs to the momentum divergence and exhaustion analysis family of indicators. It uses normalized momentum behavior rather than raw price comparison, allowing divergence conditions to be evaluated consistently across symbols and timeframes.

Visual Outputs Explained

Divergence Lines
Drawn between relevant price and momentum reference points to illustrate disagreement.

Labels
Identify bullish or bearish divergence conditions at the time they occur.

All visual elements correspond to active divergence conditions based on recent price and momentum behavior.

Alerts

Snap provides alerts for newly detected divergence conditions, allowing traders to monitor potential momentum exhaustion without constantly watching the chart.

Alerts are informational and intended to highlight context changes, not to signal entries or exits.

How to Use Snap

Snap is best used as a risk-awareness and confirmation tool. Traders commonly use it to:

Tighten risk during extended trends

Avoid chasing late-stage moves

Watch for early signs of momentum disagreement near key levels

It pairs naturally with structure, trend, or momentum tools as an additional layer of confirmation.

Why This Script Is Invite-Only

While divergence is a known concept, Snap automates the detection, qualification, and visualization of meaningful divergence conditions, reducing subjectivity and chart clutter. This allows traders to consistently monitor momentum agreement without manual comparison.