Patterns

Bearish Harami

Edited by GANGCO STUDIO · Updated

Contents Bearish Harami
  1. MACD
  2. Ichimoku Cloud
  3. Pivot Line
  4. DMI
  5. Parabolic SAR
  6. Aroon
  7. Supertrend
  8. Exponential Moving Average
  9. MA Golden Cross
  10. MA Dead Cross
  11. ADX
  12. RSI
  13. Stochastic
  14. SONAR
  15. TRIX
  16. CCI
  17. ROC
  18. Disparity Index
  19. Psychological Line
  20. Williams %R
  21. AB Ratio
  22. Ultimate Oscillator
  23. Volume Profile
  24. OBV
  25. MFI
  26. Volume Oscillator
  27. Volume Ratio
  28. AD Line
  29. EOM
  30. PVT
  31. CMF
  32. VWAP
  33. Force Index
  34. Bollinger Bands
  35. ATR
  36. Envelope
  37. Keltner Channels
  38. Donchian Channel
  39. Standard Deviation
  40. Chaikin Volatility
  41. Three White Soldiers
  42. Three Black Crows
  43. Morning Star
  44. Evening Star
  45. Hammer
  46. Inverted Hammer
  47. Hanging Man
  48. Shooting Star
  49. Doji
  50. Bullish Marubozu
  51. Bearish Marubozu
  52. Bullish Engulfing
  53. Bearish Engulfing
  54. Piercing Line
  55. Dark Cloud Cover
  56. Bullish Harami
  57. Bearish Harami
  58. Elder-Ray Index
  59. Coppock Curve

A weapon that marks, in an uptrend, a small falling candle that fits entirely inside the body of the long rising candle before it.

Weapon tier
Starter tier
Slots used
Candle markings 1/3

Concept

Yesterday the price rose strongly, but today it fell a little and stayed inside the range of yesterday’s body. The rise has paused for a beat.

Unlike the engulfing pattern, the second candle sits inside the first. It is usually read as a hesitation rather than a turn, so the next candle matters.

  • Bearish Harami

Charts by TradingView Lightweight Charts™

80 candles with volume. Right after a big rising candle on a burst of volume, candle 60 (yellow vertical line) is a small falling candle inside it. The price then falls steadily. Keyboard: ←/→ to move, +/− to zoom, 0 to see the whole chart.

The yellow vertical line is the second candle of the bearish harami. It came the day after a one-day surge, and the price then gave back the gain and kept falling. This scene was picked because it worked out — the rise often continues after a harami too. Drag the chart sideways with a finger or the mouse to move it, and pinch with two fingers to zoom in. With a keyboard, click the chart, then use ←/→ to move and +/− to zoom.

How it is calculated

Trend: if the close is above the average close of the last 10 candles, it is an uptrend.

Yesterday must be a rising candle whose body is longer than the average body of the last 10 candles × 1.2.

Today must be a falling candle whose open is below yesterday’s close and whose close is above yesterday’s open (inside yesterday’s body), with a body smaller than yesterday’s body × 0.6. If all of this holds, today’s candle is marked.

Parameters

What it setsName in the gameDefaultRange
Candles used for the average body lookback 10 5 – 30
Candles in the closing-price average used to judge the trend trendPeriod 10 3 – 60
How many times the average body the body must exceed bodyMultiple 1.2 0.5 – 3
How small the second body must be, as a share of the first body haramiBodyMax 0.6 0.1 – 0.95

Trading ideas

A harami is a pause. If the next candle closes below yesterday’s open, the turn is often considered to be gaining strength.

A harami right after a rising candle on a burst of volume is sometimes read as “buyers could not follow through” (lesson 4).

Common traps

  • A harami alone does not turn the trend. It is common for the rise to resume after the pause.
  • The check judges the trend only from the closing-price average. Whether this is the top of a long trend needs a separate look.
  • The chart on this page is a picked scene. Read it together with the trend (lesson 2).

In the game

  • “Bearish Harami” is an “Starter tier” weapon and uses 1 “Candle markings” slot (limit 3). It uses no chart lines and no indicator panel.
  • In the game, every candle that meets the conditions gets a faint gray vertical line in the price area, and only the most recent line is labeled “Bearish Harami”. The chart on this page looks the same; the yellow vertical line is an extra mark for the candle this page talks about.
  • If you equip several “Candle markings” weapons, their lines are told apart as solid, dashed and dotted.

Related indicators and lessons

  • Three White Soldiers — A candle-pattern marker that puts a vertical line on the third of three big up candles closing higher one after another.
  • Three Black Crows — A candle-pattern marker that puts a vertical line on the third of three big down candles closing lower one after another.
  • Morning Star — A candle-pattern marker for a three-candle bottom shape — big down candle, small-bodied candle, big up candle — with a vertical line on the third candle.
  • Evening Star — A candle-pattern marker for a three-candle top shape — big up candle, small-bodied candle, big down candle — with a vertical line on the third candle.
  • Hammer — A candle-pattern marker that puts a vertical line on a single candle in a downtrend with a long lower shadow and almost no upper shadow.
  • Inverted Hammer — A candle-pattern marker that puts a vertical line on a single candle in a downtrend with a long upper shadow and almost no lower shadow.
  • Hanging Man — A candle-pattern marker that puts a vertical line on a single candle in an uptrend with a long lower shadow and almost no upper shadow.
  • Shooting Star — A candle-pattern marker that puts a vertical line on a single candle in an uptrend with a long upper shadow and almost no lower shadow.
  • Doji — A weapon that finds and marks candles whose open and close are almost the same, so the body is very thin. It is a candle where buyers and sellers ended up evenly matched.
  • Bullish Marubozu — A weapon that finds and marks rising candles with almost no shadows and a body far longer than usual. Buyers pushed all the way through the candle.
  • Bearish Marubozu — A weapon that finds and marks falling candles with almost no shadows and a body far longer than usual. Sellers pushed all the way through the candle.
  • Bullish Engulfing — A weapon that marks a large rising candle whose body completely wraps the previous falling candle’s body, in a downtrend.
  • Bearish Engulfing — A weapon that marks a large falling candle whose body completely wraps the previous rising candle’s body, in an uptrend.
  • Piercing Line — A weapon that marks, in a downtrend, a rising candle that opens below a long falling candle and closes above the middle of that candle’s body.
  • Dark Cloud Cover — A weapon that marks, in an uptrend, a falling candle that opens above a long rising candle and closes below the middle of that candle’s body.
  • Bullish Harami — A weapon that marks, in a downtrend, a small rising candle that fits entirely inside the body of the long falling candle before it.
  • 1. Reading a single candle
  • 2. Trends and sideways moves
  • 4. Volume and volume MA