✤ Setup Conditions
1. 1st candle’s close must be greater than 1st candle’s open, it means 1st candle is a bullish candle.
2. 2nd candle’s close must be less than 2nd candle’s open, it means 2nd candle is a bearish candle.
3. 2nd candle’s high must be less than 1st candle’s high, it means 2nd candle has a lower high.
4. 2nd candle’s low must be greater than 1st candle’s low, it means 2nd candle has a higher low.
5. 2nd candle’s entire range must be less than entire range of 1st candle.
6. 3rd candle confirmation needed.
A Bearish Harami is a candlestick pattern that suggests a potential reversal from an uptrend to a downtrend. It also consists of two candles
1. First Candle
☛ A large bullish candlestick (long green/white body) indicating strong buying pressure.
2. Second Candle
☛ A smaller bearish candlestick (small red/black body) that is entirely contained within the body of the first candle
✤ Key Characteristics
☛ The smaller second candle shows a weakening of buying momentum.
☛ It indicates market indecision and the possibility of a bearish reversal.
✤ Confirmation
☛ Traders wait for the next candle to close lower than the low of the second candle to confirm the bearish reversal.
