If you only need pretty indenting without introducing any new line-breaks, you can apply the indent-region
command to the entire buffer with these keystrokes:
C-x h
C-M-\
If you also need to introduce line-breaks, so that opening and closing tags are on separate lines, you could use the following very nice elisp function, written by Benjamin Ferrari. I found it on his blog and hope it's ok for me to reproduce it here:
(defun bf-pretty-print-xml-region (begin end)
"Pretty format XML markup in region. You need to have nxml-mode
http://www.emacswiki.org/cgi-bin/wiki/NxmlMode installed to do
this. The function inserts linebreaks to separate tags that have
nothing but whitespace between them. It then indents the markup
by using nxml's indentation rules."
(interactive "r")
(save-excursion
(nxml-mode)
(goto-char begin)
(while (search-forward-regexp "\>[ \\t]*\<" nil t)
(backward-char) (insert "\n"))
(indent-region begin end))
(message "Ah, much better!"))
This doesn't rely on an external tool like Tidy.