Hidden divergence is the trend-continuation cousin of regular divergence. A hidden bearish divergence shows up during a downtrend's bounce: price makes a lower high (the downtrend is holding) while RSI makes a higher high (the bounce looked strong on momentum). It suggests the bounce is just a pause and the downtrend should resume.
In plain terms
The downtrend bounced, the bounce looked stronger than it really was, and sellers stayed in control. It is a "the bounce may be over" hint, not a reversal call.
What triggers it
On the two most recent confirmed swing highs: price's second high is
lower than its first (price[H2] < price[H1]) while RSI's second high is
higher (RSI[H2] > RSI[H1]). The higher-timeframe context must be
bearish; otherwise the detector stays silent so it only fires with the
bigger trend.
How Signalix scores strength
The base score is 2 out of 5. Like all continuation patterns it carries less weight than a reversal. Its job is to flag the bounce-into- resistance moment inside a downtrend that is still intact.
When it fires
Only inside a confirmed bearish higher-timeframe window. If that bigger trend is mixed or unclear, this detector intentionally produces no alerts.