diff --git a/packages/opencode/src/cli/cmd/tui/app.tsx b/packages/opencode/src/cli/cmd/tui/app.tsx
index 2af5b21152c..47e69da483c 100644
--- a/packages/opencode/src/cli/cmd/tui/app.tsx
+++ b/packages/opencode/src/cli/cmd/tui/app.tsx
@@ -177,7 +177,7 @@ function App() {
   const command = useCommandDialog()
   const sdk = useSDK()
   const toast = useToast()
-  const { theme, mode, setMode } = useTheme()
+  const { theme } = useTheme()
   const sync = useSync()
   const exit = useExit()
   const promptRef = usePromptRef()
@@ -421,15 +421,7 @@ function App() {
       },
       category: "System",
     },
-    {
-      title: "Toggle appearance",
-      value: "theme.switch_mode",
-      onSelect: (dialog) => {
-        setMode(mode() === "dark" ? "light" : "dark")
-        dialog.clear()
-      },
-      category: "System",
-    },
+
     {
       title: "Help",
       value: "help.show",
diff --git a/packages/opencode/src/cli/cmd/tui/component/dialog-theme-list.tsx b/packages/opencode/src/cli/cmd/tui/component/dialog-theme-list.tsx
index f4072c97858..3343d3dafa4 100644
--- a/packages/opencode/src/cli/cmd/tui/component/dialog-theme-list.tsx
+++ b/packages/opencode/src/cli/cmd/tui/component/dialog-theme-list.tsx
@@ -1,50 +1,156 @@
 import { DialogSelect, type DialogSelectRef } from "../ui/dialog-select"
-import { useTheme } from "../context/theme"
+import { useTheme, type ColorScheme, getThemeModeSupport, type ThemeModeSupport } from "../context/theme"
 import { useDialog } from "../ui/dialog"
-import { onCleanup, onMount } from "solid-js"
+import { createMemo, createSignal, For, onCleanup } from "solid-js"
+import { TextAttributes } from "@opentui/core"
+import { useKeyboard } from "@opentui/solid"
+
+const APPEARANCE_OPTIONS: { value: ColorScheme; label: string }[] = [
+  { value: "system", label: "System" },
+  { value: "light", label: "Light" },
+  { value: "dark", label: "Dark" },
+]
+
+function isOptionEnabled(option: ColorScheme, support: ThemeModeSupport): boolean {
+  if (support.dark && support.light) return true
+  if (option === "system") return support.dark && support.light
+  if (option === "dark") return support.dark
+  if (option === "light") return support.light
+  return false
+}
+
+function AppearanceSelector(props: { modeSupport: ThemeModeSupport }) {
+  const theme = useTheme()
+  const enabledOptions = createMemo(() =>
+    APPEARANCE_OPTIONS.filter((opt) => isOptionEnabled(opt.value, props.modeSupport)),
+  )
+  const selectedIndex = createMemo(() => enabledOptions().findIndex((opt) => opt.value === theme.colorScheme()))
+
+  useKeyboard((evt) => {
+    const options = enabledOptions()
+    if (options.length <= 1) return
+
+    if (evt.name === "left") {
+      evt.preventDefault()
+      const prev = (selectedIndex() - 1 + options.length) % options.length
+      theme.setColorScheme(options[prev].value)
+    }
+    if (evt.name === "right") {
+      evt.preventDefault()
+      const next = (selectedIndex() + 1) % options.length
+      theme.setColorScheme(options[next].value)
+    }
+  })
+
+  return (
+    <box paddingLeft={4} paddingRight={4} paddingBottom={1}>
+      <box flexDirection="row" justifyContent="space-between">
+        <text fg={theme.theme.text} attributes={TextAttributes.BOLD}>
+          Appearance
+        </text>
+        <text fg={theme.theme.textMuted}>←/→</text>
+      </box>
+      <box flexDirection="row" gap={2} paddingTop={1}>
+        <For each={APPEARANCE_OPTIONS}>
+          {(option) => {
+            const isSelected = createMemo(() => theme.colorScheme() === option.value)
+            const isEnabled = createMemo(() => isOptionEnabled(option.value, props.modeSupport))
+            return (
+              <box flexDirection="row" gap={1} onMouseUp={() => isEnabled() && theme.setColorScheme(option.value)}>
+                <text
+                  fg={!isEnabled() ? theme.theme.border : isSelected() ? theme.theme.primary : theme.theme.textMuted}
+                >
+                  {isSelected() ? "●" : "○"}
+                </text>
+                <text fg={!isEnabled() ? theme.theme.border : isSelected() ? theme.theme.text : theme.theme.textMuted}>
+                  {option.label}
+                </text>
+              </box>
+            )
+          }}
+        </For>
+      </box>
+    </box>
+  )
+}
+
+function getModeIndicator(support: ThemeModeSupport): string {
+  if (support.dark && support.light) return ""
+  if (support.dark) return "dark"
+  if (support.light) return "light"
+  return ""
+}
 
 export function DialogThemeList() {
   const theme = useTheme()
-  const options = Object.keys(theme.all())
+  const allThemes = theme.all()
+  const options = Object.keys(allThemes)
     .sort((a, b) => a.localeCompare(b, undefined, { sensitivity: "base" }))
-    .map((value) => ({
-      title: value,
-      value: value,
-    }))
+    .map((value) => {
+      const support = getThemeModeSupport(allThemes[value])
+      const indicator = getModeIndicator(support)
+      return {
+        title: value,
+        value: value,
+        footer: indicator,
+      }
+    })
   const dialog = useDialog()
   let confirmed = false
   let ref: DialogSelectRef<string>
   const initial = theme.selected
+  const initialColorScheme = theme.colorScheme()
+
+  const currentModeSupport = createMemo(() => {
+    const currentTheme = allThemes[theme.selected]
+    return currentTheme ? getThemeModeSupport(currentTheme) : { dark: true, light: true }
+  })
+
+  function handleThemeChange(themeName: string) {
+    theme.set(themeName)
+    const support = getThemeModeSupport(allThemes[themeName])
+    if (!support.light && support.dark) {
+      theme.setColorScheme("dark")
+    } else if (!support.dark && support.light) {
+      theme.setColorScheme("light")
+    }
+  }
 
   onCleanup(() => {
-    if (!confirmed) theme.set(initial)
+    if (!confirmed) {
+      theme.set(initial)
+      theme.setColorScheme(initialColorScheme)
+    }
   })
 
   return (
-    <DialogSelect
-      title="Themes"
-      options={options}
-      current={initial}
-      onMove={(opt) => {
-        theme.set(opt.value)
-      }}
-      onSelect={(opt) => {
-        theme.set(opt.value)
-        confirmed = true
-        dialog.clear()
-      }}
-      ref={(r) => {
-        ref = r
-      }}
-      onFilter={(query) => {
-        if (query.length === 0) {
-          theme.set(initial)
-          return
-        }
-
-        const first = ref.filtered[0]
-        if (first) theme.set(first.value)
-      }}
-    />
+    <box flexDirection="column">
+      <AppearanceSelector modeSupport={currentModeSupport()} />
+      <DialogSelect
+        title="Theme"
+        options={options}
+        current={initial}
+        onMove={(opt) => {
+          handleThemeChange(opt.value)
+        }}
+        onSelect={(opt) => {
+          handleThemeChange(opt.value)
+          confirmed = true
+          dialog.clear()
+        }}
+        ref={(r) => {
+          ref = r
+        }}
+        onFilter={(query) => {
+          if (query.length === 0) {
+            theme.set(initial)
+            return
+          }
+
+          const first = ref.filtered[0]
+          if (first) handleThemeChange(first.value)
+        }}
+      />
+    </box>
   )
 }
diff --git a/packages/opencode/src/cli/cmd/tui/context/theme.tsx b/packages/opencode/src/cli/cmd/tui/context/theme.tsx
index 6489fc0e1ef..ec636096ade 100644
--- a/packages/opencode/src/cli/cmd/tui/context/theme.tsx
+++ b/packages/opencode/src/cli/cmd/tui/context/theme.tsx
@@ -1,6 +1,6 @@
 import { SyntaxStyle, RGBA, type TerminalColors } from "@opentui/core"
 import path from "path"
-import { createEffect, createMemo, onMount } from "solid-js"
+import { createEffect, createMemo, onMount, onCleanup } from "solid-js"
 import { useSync } from "@tui/context/sync"
 import { createSimpleContext } from "./helper"
 import aura from "./theme/aura.json" with { type: "json" }
@@ -102,6 +102,8 @@ type Theme = ThemeColors & {
   thinkingOpacity: number
 }
 
+export type ColorScheme = "dark" | "light" | "system"
+
 export function selectedForeground(theme: Theme, bg?: RGBA): RGBA {
   // If theme explicitly defines selectedListItemText, use it
   if (theme._hasSelectedListItemText) {
@@ -127,6 +129,57 @@ type Variant = {
   light: HexColor | RefName
 }
 type ColorValue = HexColor | RefName | Variant | RGBA
+
+function isVariant(value: ColorValue): value is Variant {
+  return typeof value === "object" && value !== null && !(value instanceof RGBA) && "dark" in value && "light" in value
+}
+
+export type ThemeModeSupport = {
+  dark: boolean
+  light: boolean
+}
+
+function resolveColorRef(ref: string, defs: Record<string, HexColor | RefName>): string {
+  if (ref.startsWith("#")) return ref
+  if (defs[ref]) return resolveColorRef(defs[ref], defs)
+  return ref
+}
+
+function getLuminance(hex: string): number {
+  if (!hex.startsWith("#")) return 0.5
+  const r = parseInt(hex.slice(1, 3), 16)
+  const g = parseInt(hex.slice(3, 5), 16)
+  const b = parseInt(hex.slice(5, 7), 16)
+  return (0.299 * r + 0.587 * g + 0.114 * b) / 255
+}
+
+export function getThemeModeSupport(theme: ThemeJson): ThemeModeSupport {
+  const defs = theme.defs ?? {}
+  const bgValue = theme.theme.background
+
+  if (isVariant(bgValue)) {
+    const darkBg = resolveColorRef(bgValue.dark, defs)
+    const lightBg = resolveColorRef(bgValue.light, defs)
+    const isTransparent = darkBg === "transparent" || darkBg === "none"
+    if (isTransparent || darkBg === lightBg) {
+      const textValue = theme.theme.text
+      if (isVariant(textValue)) {
+        const darkText = resolveColorRef(textValue.dark, defs)
+        const lightText = resolveColorRef(textValue.light, defs)
+        if (darkText !== lightText) return { dark: true, light: true }
+      }
+      if (isTransparent) return { dark: true, light: true }
+      const luminance = getLuminance(darkBg)
+      return { dark: luminance < 0.5, light: luminance >= 0.5 }
+    }
+    return { dark: true, light: true }
+  }
+
+  const resolvedBg = typeof bgValue === "string" ? resolveColorRef(bgValue, defs) : ""
+  if (resolvedBg === "transparent" || resolvedBg === "none") return { dark: true, light: true }
+  const luminance = getLuminance(resolvedBg)
+  return { dark: luminance < 0.5, light: luminance >= 0.5 }
+}
 type ThemeJson = {
   $schema?: string
   defs?: Record<string, HexColor | RefName>
@@ -280,9 +333,13 @@ export const { use: useTheme, provider: ThemeProvider } = createSimpleContext({
   init: (props: { mode: "dark" | "light" }) => {
     const sync = useSync()
     const kv = useKV()
+    const configAppearance = sync.data.config.appearance as ColorScheme | undefined
+    const initialColorScheme = (configAppearance ?? kv.get("color_scheme", "system")) as ColorScheme
+    const initialMode = initialColorScheme === "system" ? props.mode : (initialColorScheme as "dark" | "light")
     const [store, setStore] = createStore({
       themes: DEFAULT_THEMES,
-      mode: kv.get("theme_mode", props.mode),
+      colorScheme: initialColorScheme,
+      mode: initialMode,
       active: (sync.data.config.theme ?? kv.get("theme", "opencode")) as string,
       ready: false,
     })
@@ -290,6 +347,15 @@ export const { use: useTheme, provider: ThemeProvider } = createSimpleContext({
     createEffect(() => {
       const theme = sync.data.config.theme
       if (theme) setStore("active", theme)
+      const appearance = sync.data.config.appearance as ColorScheme | undefined
+      if (appearance) {
+        setStore("colorScheme", appearance)
+        if (appearance === "system") {
+          setStore("mode", props.mode)
+        } else {
+          setStore("mode", appearance)
+        }
+      }
     })
 
     function init() {
@@ -350,6 +416,39 @@ export const { use: useTheme, provider: ThemeProvider } = createSimpleContext({
       init()
     })
 
+    // Poll terminal background for real-time system theme detection
+    createEffect(() => {
+      if (store.colorScheme !== "system") return
+
+      let active = true
+
+      const checkTerminalMode = () => {
+        if (!active) return
+        renderer
+          .getPalette({ size: 1 })
+          .then((colors) => {
+            if (!active || !colors.defaultBackground) return
+            const hex = colors.defaultBackground
+            const r = parseInt(hex.slice(1, 3), 16)
+            const g = parseInt(hex.slice(3, 5), 16)
+            const b = parseInt(hex.slice(5, 7), 16)
+            const luminance = (0.299 * r + 0.587 * g + 0.114 * b) / 255
+            const detectedMode = luminance > 0.5 ? "light" : "dark"
+            if (store.colorScheme === "system" && store.mode !== detectedMode) {
+              setStore("mode", detectedMode)
+            }
+          })
+          .catch(() => {})
+      }
+
+      const interval = setInterval(checkTerminalMode, 5000)
+
+      onCleanup(() => {
+        active = false
+        clearInterval(interval)
+      })
+    })
+
     const values = createMemo(() => {
       return resolveTheme(store.themes[store.active] ?? store.themes.opencode, store.mode)
     })
@@ -375,6 +474,18 @@ export const { use: useTheme, provider: ThemeProvider } = createSimpleContext({
       mode() {
         return store.mode
       },
+      colorScheme() {
+        return store.colorScheme
+      },
+      setColorScheme(scheme: ColorScheme) {
+        setStore("colorScheme", scheme)
+        kv.set("color_scheme", scheme)
+        if (scheme === "system") {
+          setStore("mode", props.mode)
+        } else {
+          setStore("mode", scheme)
+        }
+      },
       setMode(mode: "dark" | "light") {
         setStore("mode", mode)
         kv.set("theme_mode", mode)
diff --git a/packages/opencode/src/cli/cmd/tui/ui/dialog-select.tsx b/packages/opencode/src/cli/cmd/tui/ui/dialog-select.tsx
index f2f2927c000..99e9ebcf52b 100644
--- a/packages/opencode/src/cli/cmd/tui/ui/dialog-select.tsx
+++ b/packages/opencode/src/cli/cmd/tui/ui/dialog-select.tsx
@@ -19,6 +19,7 @@ export interface DialogSelectProps<T> {
   onMove?: (option: DialogSelectOption<T>) => void
   onFilter?: (query: string) => void
   onSelect?: (option: DialogSelectOption<T>) => void
+  onNavigateUp?: () => void
   skipFilter?: boolean
   keybind?: {
     keybind: Keybind.Info
@@ -124,7 +125,13 @@ export function DialogSelect<T>(props: DialogSelectProps<T>) {
   function move(direction: number) {
     if (flat().length === 0) return
     let next = store.selected + direction
-    if (next < 0) next = flat().length - 1
+    if (next < 0) {
+      if (props.onNavigateUp) {
+        props.onNavigateUp()
+        return
+      }
+      next = flat().length - 1
+    }
     if (next >= flat().length) next = 0
     moveTo(next)
   }
diff --git a/packages/opencode/src/config/config.ts b/packages/opencode/src/config/config.ts
index be234948424..8483ba071ee 100644
--- a/packages/opencode/src/config/config.ts
+++ b/packages/opencode/src/config/config.ts
@@ -792,6 +792,10 @@ export namespace Config {
     .object({
       $schema: z.string().optional().describe("JSON schema reference for configuration validation"),
       theme: z.string().optional().describe("Theme name to use for the interface"),
+      appearance: z
+        .enum(["dark", "light", "system"])
+        .optional()
+        .describe("Color scheme preference: 'dark', 'light', or 'system' to follow terminal"),
       keybinds: Keybinds.optional().describe("Custom keybind configurations"),
       logLevel: Log.Level.optional().describe("Log level"),
       tui: TUI.optional().describe("TUI specific settings"),
diff --git a/packages/sdk/js/src/v2/gen/types.gen.ts b/packages/sdk/js/src/v2/gen/types.gen.ts
index ea86b022daf..fc64fbe21ec 100644
--- a/packages/sdk/js/src/v2/gen/types.gen.ts
+++ b/packages/sdk/js/src/v2/gen/types.gen.ts
@@ -1534,6 +1534,10 @@ export type Config = {
    * Theme name to use for the interface
    */
   theme?: string
+  /**
+   * Color scheme preference: 'dark', 'light', or 'system' to follow terminal
+   */
+  appearance?: "dark" | "light" | "system"
   keybinds?: KeybindsConfig
   logLevel?: LogLevel
   /**