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Price–Indicator Pivot Alignment

Install and import#

bash
npm install fintech-algorithms
ts
import { priceIndicatorPivotAlignment } from "fintech-algorithms/geometric-chart-patterns/indicator-divergence-detection/price-indicator-pivot-alignment";

Signature#

priceIndicatorPivotAlignment(payload)

Aligns confirmed price and indicator pivots of the same kind within an explicit lag bound while preserving both event and knowledge indexes.

Parameters#

NameTypeNotes
payload{ topic_id: string; data_class: string; as_of: string; bars: { timestamp: string; open: number; high: number; low: number; close: number; finalized: boolean }[]; price_pivots: { kind: string; event_index: number; confirmation_index: number; price: number; prominence: number }[]; indicators: { name: string; family: string; polarity: number; scale: number; pivots: { kind: string; event_index: number; confirmation_index: number; value: number; prominence: number }[] }[]; parameters: { max_lag: number; min_separation: number; max_separation: number; min_price_fraction: number; min_indicator_delta: number; confirmation_horizon: number; invalidation_buffer: number; minimum_indicators: number }; weights: { RSI: number; MACD-Histogram: number; Stochastic-K: number }; as_of_index: number; universe: { symbol: string; state: string; divergence_type: string; confluence_score: number; freshness: number; liquidity: number; data_quality: number; available_index: number; eligible: boolean }[] }Topic payload containing price pivots, indicator definitions, and parameters.max_lag.

Returns#

{ topic_id, state, alignments, alignment_count?, reason }

One alignment record. state is warmup when no indicator pivots or fewer than two alignments are available and ready otherwise; it does not describe leading null positions in a returned series.

Warm-up#

The first 2 eligible aligned pivots positions are state: warmup. The function returns one alignment record when fewer than two causal alignments are available; it does not emit a positional null prefix.

Errors#

  • When pivot identity, chronology, value, scale, polarity, or max-lag input is invalid — throws

Complexity: time , space .

Worked example#

executed Captured by running this function on the input its own test provides. Real output of real code — but not asserted against a published figure.

Input#

payload
{
  "topic_id": "D08-F05-A01",
  "data_class": "synthetic-teaching",
  "as_of": "2026-01-08T13:30:00Z",
  "bars": [
    {
      "timestamp": "2026-01-05T14:30:00Z",
      "open": 105.75,
      "high": 107,
      "low": 105,
      "close": 106,
      "finalized": true
    },
    {
      "timestamp": "2026-01-05T15:30:00Z",
      "open": 106.112,
      "high": 107.362,
      "low": 105.362,
      "close": 106.362,
      "finalized": true
    },
    {
      "timestamp": "2026-01-05T16:30:00Z",
      "open": 106.4614,
      "high": 107.7114,
      "low": 105.7114,
      "close": 106.7114,
      "finalized": true
    }
  ],
  "price_pivots": [
    {
      "kind": "low",
      "event_index": 18,
      "confirmation_index": 21,
      "price": 98,
      "prominence": 0.72
    },
    {
      "kind": "low",
      "event_index": 42,
      "confirmation_index": 45,
      "price": 94,
      "prominence": 0.84
    }
  ],
  "indicators": [
    {
      "name": "RSI",
      "family": "bounded-momentum",
      "polarity": 1,
      "scale": 100,
      "pivots": [
        {
          "kind": "low",
          "event_index": 19,
          "confirmation_index": 22,
          "value": 28,
          "prominence": 0.76
        },
        {
          "kind": "low",
          "event_index": 41,
          "confirmation_index": 44,
          "value": 36,
          "prominence": 0.86
        }
      ]
    },
    {
      "name": "MACD-Histogram",
      "family": "moving-average-momentum",
      "polarity": 1,
      "scale": 5,
      "pivots": [
        {
          "kind": "low",
          "event_index": 18,
          "confirmation_index": 21,
          "value": -2.2,
          "prominence": 0.7
        },
        {
          "kind": "low",
          "event_index": 42,
          "confirmation_index": 45,
          "value": -1,
          "prominence": 0.81
        }
      ]
    },
    {
      "name": "Stochastic-K",
      "family": "range-momentum",
      "polarity": 1,
      "scale": 100,
      "pivots": [
        {
          "kind": "low",
          "event_index": 17,
          "confirmation_index": 20,
          "value": 18,
          "prominence": 0.68
        },
        {
          "kind": "low",
          "event_index": 43,
          "confirmation_index": 46,
          "value": 29,
          "prominence": 0.78
        }
      ]
    }
  ],
  "parameters": {
    "max_lag": 3,
    "min_separation": 5,
    "max_separation": 40,
    "min_price_fraction": 0.005,
    "min_indicator_delta": 0.05,
    "confirmation_horizon": 12,
    "invalidation_buffer": 0.005,
    "minimum_indicators": 2
  },
  "weights": {
    "RSI": 0.4,
    "MACD-Histogram": 0.35,
    "Stochastic-K": 0.25
  },
  "as_of_index": 71,
  "universe": [
    {
      "symbol": "SYNTH-A",
      "state": "confirmed",
      "divergence_type": "regular-bullish",
      "confluence_score": 86,
      "freshness": 92,
      "liquidity": 80,
      "data_quality": 98,
      "available_index": 47,
      "eligible": true
    },
    {
      "symbol": "SYNTH-B",
      "state": "candidate",
      "divergence_type": "regular-bearish",
      "confluence_score": 91,
      "freshness": 98,
      "liquidity": 72,
      "data_quality": 94,
      "available_index": 54,
      "eligible": true
    },
    {
      "symbol": "SYNTH-C",
      "state": "confirmed",
      "divergence_type": "hidden-bullish",
      "confluence_score": 74,
      "freshness": 70,
      "liquidity": 96,
      "data_quality": 90,
      "available_index": 39,
      "eligible": true
    }
  ]
}

Call#

priceIndicatorPivotAlignment(payload)

Returns#

object with 5 fields: topic_id, state, alignments, alignment_count, reason

{
  "topic_id": "D08-F05-A01",
  "state": "ready",
  "alignments": [
    {
      "kind": "low",
      "price_event_index": 18,
      "price_confirmation_index": 21,
      "price": 98,
      "price_prominence": 0.72,
      "indicator_event_index": 19,
      "indicator_confirmation_index": 22,
      "indicator_value": 0.28,
      "indicator_raw_value": 28,
      "indicator_prominence": 0.76,
      "lag": 1,
      "knowledge_index": 22,
      "indicator": "RSI",
      "indicator_family": "bounded-momentum"
    },
    {
      "kind": "low",
      "price_event_index": 42,
      "price_confirmation_index": 45,
      "price": 94,
      "price_prominence": 0.84,
      "indicator_event_index": 41,
      "indicator_confirmation_index": 44,
      "indicator_value": 0.36,
      "indicator_raw_value": 36,
      "indicator_prominence": 0.86,
      "lag": 1,
      "knowledge_index": 45,
      "indicator": "RSI",
      "indicator_family": "bounded-momentum"
    }
  ],
  "alignment_count": 2,
  "reason": "aligned"
}

Other exports#

This module also exports adaptIndicator, alignPivots, detectDivergences, scoreDivergence, advanceState, combineConfluence, rankUniverse, runTopic, regularBullishBearishDivergenceDetection, hiddenBullishBearishDivergenceDetection, multiIndicatorDivergenceAdapters, divergenceStrengthAndQualityScoring, divergenceConfirmationAndInvalidationStateMachine, multiIndicatorDivergenceConfluence, marketWideDivergenceScannerAndRanking. Every module additionally exports run as an alias of its primary function, and a meta object carrying its catalog id, domain, family, shape and article URL.

Diagrams#

Price–Indicator Pivot Alignment — map

How it works#

This page states the contract — how to call it correctly. The article explains the concept: why it works, and where it breaks.

Read the article →

References#

The rest of the Indicator Divergence Detection family#