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HARAMI

The smaller candle that rests inside the previous larger candle.

Published by The Retail Trader · JUL 31, 2026 · Price Action

Harami — A small candle that lies inside a previous larger candle. Momentum is slowing down.

WHERE THIS FITS IN

This term comes under Price Action, in the section "SINGLE AND DOUBLE CANDLE PATTERNS". Some shapes appear again and again, so their names were pad. Remember: the pattern is just a hint, not a guarantee.

RELATED TERMS TO READ

Other terms in this group — understanding them together is more useful:
• Doji
• Hammer
• Shooting Star
• Marubozu
• Spinning Top
• Bullish Engulfing
• Bearish Engulfing
• Tweezer Top / Bottom

To read the entire group and all its examples in one place, see the journal "PRICE ACTION: THE LANGUAGE OF THE CANDLE" - this term is taken from there.

This entry is for educational purposes only and is not a recommendation to buy or sell. Exchanges change charges, margins, lot sizes and expiry rules from time to time, so verify any figures with your broker or exchange.

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