Harami Bullish
Pattern: Reversal
Trend: Bullish
Reliability: Low
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How to
Identify it
- A long black day
occurs
- The second day is a
white day where the real body is completely engulfed by
the real body of the first
What it
Means
After a long black day at
the low end of a downtrend, a white candlestick opens higher
than the previous day’s close. The price is driven up, as
many shorts are covered, which encourages further buy-ins.
The Harami indicator should be confirmed with the next
trading day’s candlestick following the reversal trend. The
Harami pattern is also the first two days of the Three
Inside patterns.
