Bullish Harami Cross candlestick pattern
bullish reversal signal · 2 candles · reliability 3/5
A large red candle followed by a doji contained within the first body, showing a sharp rise in indecision after a downtrend.
The Bullish Harami Cross is a stronger version of the standard Bullish Harami: the second candle is not just a small green body, but a full doji. The open and close are nearly identical, showing a temporary balance between buyers and sellers. Near the end of a downtrend, it signals that selling pressure has stalled, and the next candle often points to the direction of the potential reversal.
What does it signal? A Bullish Harami Cross at the end of a downtrend is a potential reversal signal: sellers pushed price lower, but buyers pulled it back into balance.
When is it reliable? More reliable at a strong support level, with above-average volume and a confirming green candle in the next period.
When to avoid it? Avoid it in sideways markets and on short time frames such as 1-minute or 5-minute charts, where noise is too high and the signal has little statistical value.
Anatomy and identification rules
Candle anatomy
- 1
First candle: large red body within a downtrend
- 2
Second candle: doji, with the open and close nearly identical
- 3
The doji is fully contained within the first candle’s body
- 4
Ideally, the doji’s wicks also remain within the first candle’s body
Identification rules
- Appears after a downtrend
- The first body is at least 5 times larger than the doji’s body
- The doji is fully positioned inside the first candle’s body
- The doji body is no more than 5% of the total range
- A confirming bullish candle is required before entry
Pattern in chart context
What it says about the market
Context of appearance: Most relevant near the end of a downtrend, especially in oversold market conditions. Without confirmation, the signal is unreliable.
Market psychology in three steps
- 1
Downtrend continues. Several candles print lower highs and lower lows. Sellers control the market, and sentiment remains negative.
- 2
Bullish Harami Cross forms. Selling pressure fades and buyers return. Price is pulled back near the starting point, creating the possibility of a reversal.
- 3
Confirmation arrives. The next candle closes with a green body, ideally on higher volume. Sentiment has shifted, and a new uptrend may begin.
Same shape, opposite meaning
The Bullish Harami Cross and the Bearish Harami Cross look identical. The difference lies in context — mistake one for the other and you enter in the opposite direction. The candle shape alone is never enough: always read the trend first, then the pattern.
Most common mistakes
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Ignoring context. A Bullish Harami Cross only has clear meaning near the end of a downtrend. In a sideways market or an uptrend, the same pattern carries a different message, so assess the trend first.
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Entering as soon as the pattern closes. The pattern itself is not an entry trigger. Wait for the confirming green candle to close; patience reduces false signals.
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Using too short a time frame. On 5-minute candles, most reversal patterns are noise. Daily and 4-hour charts tend to produce higher-quality signals.
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Ignoring volume. A Bullish Harami Cross on low volume is a weak signal. With above-average volume, the reversal is more likely. Always check the volume bar.