Relative Volatility Index

Unlike RSI which measures price direction, RVI measures the direction of volatility itself. When volatility expands upward (RVI > 60), bullish moves have fuel. When it expands downward (RVI < 40), sell-offs accelerate. A critical filter that eliminates false signals from other indicators.

Use RVI > 60 as a bull filter — only take long signals from other indicators when RVI confirms. RVI < 40 as bear filter. RVI crossing 50 from below signals volatility regime change to bullish. Especially powerful combined with Momentum Coalescence and Bull/Bear Dominance.