The Bullish Harami signifies a decrease of momentum. It occurs when a small bullish (empty) line occurs after a large bearish (filled) line in such a way that close of the bullish line is above the open of the bearish line and the open of the bullish line is lower than the close of the bearish line.
The Bullish Harami is a mirror image of the Bearish Engulfing Line.
If yesterday closed higher, a Bullish Harami will form when today's open is above yesterday's close and today's close is above yesterday's open.
|
###
### _|_
### | |
### |___|
### |
###
|
Bullish Harami
1. More information about the bullish harami on Page 33 of the book "Candlestick Charting Explained" by Gregory L. Morris. Morris says that this pattern suggests a trend change.
2. Steve Nison also says that the Harami Patterns suggest a trend change. This is on page 80 of his book "Japanese Candlesticks Charting Techniques".