What is a Bullish Harami Candlestick Pattern?
A bullish harami is a two-candle reversal pattern where a small bullish candle sits completely inside the body of the previous bearish candle. The Japanese word "harami" means pregnant — and that's exactly what it looks like. Big red body, then a tiny green body tucked inside it.
For containment, the second candle's open and close must fall within the first candle's open and close. Wicks can extend outside the prior body, but the bodies must stay contained.
What Does a Bullish Harami Candlestick Pattern Indicate?
The bullish harami tells you sellers just lost their grip. Day one, they were in control — big bearish candle, range expansion, confidence. Day two, that selling dried up. The market printed a smaller range with a contained close.
This shift from urgency to hesitation usually appears when a downtrend is running out of fuel — often near a support level, prior swing low, or a major moving average where buyers finally step in.
⚠️ Warning: A harami signals stalled momentum. Wait for follow-through before trusting the reversal.
Is the Bullish Harami Candlestick Pattern Bullish or Bearish?
Bullish — but only after a downtrend. Context matters more than the candle shape itself.
The pattern needs a clear downswing leading into it. A harami inside a range or after a small pullback isn't the same setup.
How to Identify a Bullish Harami Candlestick Pattern?
You spot a bullish harami by looking for four things: a downtrend, a large bearish candle, a smaller bullish candle, and full body containment.
Here's the checklist:
- Market context: clear downswing or downtrend going into the pattern
- Candle 1: large bearish candle with a solid real body — not a doji, not a small candle
- Candle 2: smaller bullish candle that closes above its open
- Containment: candle 2's open and close sit inside candle 1's open and close (wicks can extend beyond)
- Location: ideally at or near a support zone, prior swing low, or major moving average
🚀 Quick Tip: If candle 1 is small or weak, the pattern loses its punch. The bigger the prior bearish candle, the more meaningful the stall.
How to Trade a Bullish Harami Candlestick Pattern?
Enter on the confirmation candle. The pattern signals a reversal. Confirmation shows buyers actually arrived.
Here's the framework:
- Entry: Buy when the next candle closes above the harami high, or use a stop-entry just above that level. The close-above method is more conservative.
- Stop-loss: Below the low of the two-candle formation — usually that's candle 1's low.
- Invalidation: A clean break below the pattern low kills the thesis. Get out, take the -1R, move on.
- Targets: Prior swing high, breakdown level, or overhead moving average. Trail a stop if price runs.
- Filters: The setup trades best at support, with a confirmation candle showing range expansion and a firm close.
🔥 Pro Tip: Skip the harami if it forms in the middle of nowhere. No support level, no prior swing low, no confluence? Location matters more than the pattern.
What Happens After a Bullish Harami Candlestick Pattern?
Three outcomes follow the pattern — and only one of them puts money in your account.
The clean follow-through: price breaks above the harami high, runs into the next resistance area, and gives you a measurable R multiple.
The retest: price revisits the harami area or nearby support before pushing higher. Weak hands get shaken out. If you didn't get filled on the initial move, the retest is often a second chance.
The failure: weak bounce, no follow-through, breakdown below the pattern low. Trend continues lower. You take your -1R and move on without complaint.
📌 Key Takeaway: Tag every harami you trade — winners and losers. After 30-50 of them, you'll know your actual edge with this pattern.
What are the Different Types of Bullish Harami Candlestick Patterns?
The main variant is the bullish harami cross — same setup, but candle 2 is a doji instead of a small bullish body.
A doji means the open and close are nearly identical. That tightens the indecision message. Sellers pushed hard on candle 1, then printed a perfectly contained pause on candle 2.
Some traders rate the cross higher than the standard harami — tighter indecision, cleaner signal. Either way, both trade the same: wait for confirmation above the pattern high, stop below the pattern low.