The Bearish Harami is the inverse of the bullish version, appearing after an upswing.
Here a small candle forms completely inside the prior bullish bar, hinting that upward momentum is stalling.
The strategy sells short when that inside candle closes, betting on a reversal as buyers lose conviction.
A percent stop above the pattern high caps the risk and the trade exits if price breaks to new highs.
Entry Criteria: pattern match
Long/Short: Both
Exit Criteria: stop-loss or opposite signal
Stops: Yes, percent based
Default Values:
CandleType = 15 minute
StopLoss = 2%
[*]Filters:
Category: Pattern
Direction: Both
Indicators: Candlestick
Stops: Yes
Complexity: Intermediate
Timeframe: Intraday
Seasonality: No
Neural networks: No
Divergence: No
Risk level: Medium