Technical Definition
A two-candle bearish reversal pattern where a small bearish candle is completely contained within the real body of a preceding large bullish candle.
Buyers were strong, but suddenly their strength shrinks, and sellers begin to restrict further upside. The pattern reflects loss of buying momentum, not immediate selling dominance.
Buying pressure is weakening.
Market Psychology
Context
Market is in uptrend Buyers are confident Pullbacks are shallow
Strength
Buyers push prices higher decisively Optimism dominates sentiment
Contraction
Buyers hesitate Sellers begin to appear Volatility decreases
Caution
Buyers fail to push further Sellers gain confidence Sentiment shifts toward caution
Pattern Anatomy
First Candle (Bullish)
Large bullish real body, shows strong buying pressure.
Second Candle (Bearish)
Small bearish real body, completely inside the first candle's real body range.
Size Contrast
Second candle is smaller, not dominant - showing momentum contraction.
Pattern Rules
Appears after an uptrend
Reversal context is required.
First candle is large and bullish
Shows strong buying momentum.
Second candle is bearish and smaller
Shows weakening buying pressure.
Second candle's body fully contained within first
Demonstrates momentum contraction.
Clear size difference between candles
Emphasizes the shift from expansion to contraction.
Signal Confirmation
- A bearish candle after the Harami
- Price breaking below the Harami low
- Confluence with resistance zones
- Weakening market structure