Learn 2-candle candlestick patterns—Bullish & Bearish Harami, Engulfing—with charts, examples, and pro trading tips for better decisions.
Four powerful two-candle patterns that reveal market reversals. Learn how to spot Bullish/Bearish Engulfing and Harami setups with psychology and confirmation rules.
📌 How Two-Candle Patterns Work
These patterns combine two candles to show battles between buyers and sellers. They work best around support/resistance zones with volume confirmation and on higher timeframes.
🔥 Bullish Engulfing
Appearance
Small red followed by large green fully engulfing prior body.
Psychology
Bears lost control, buyers stepped in strongly.
Where it appears
End of downtrend or near support levels.
Confirmation
Bullish close next candle, ideally with volume.
⚡ Bearish Engulfing
Appearance
Small green followed by large red fully engulfing prior body.
Psychology
Bulls exhausted, sellers take control.
Where it appears
End of uptrend or near resistance.
Confirmation
Follow-through bearish close below pattern.
🌙 Bullish Harami
Appearance
Long red followed by small green inside prior body.
Psychology
Selling pressure weakens, buyers test ground.
Where it appears
Downtrend base or support zone.
Confirmation
Bullish candle next bar breaking upside.
🌑 Bearish Harami
Appearance
Long green followed by small red inside prior body.
Psychology
Buying pressure fading, sellers re-enter.
Where it appears
Uptrend peak or resistance zone.
Confirmation
Bearish candle next bar breaking lower.
🔎 Quick Comparison
| Pattern | Trend Context | Body Relation | Bias | Confirmation |
|---|---|---|---|---|
| Bullish Engulfing | Downtrend | 2nd fully covers 1st | Bullish reversal | Close above engulfing |
| Bearish Engulfing | Uptrend | 2nd fully covers 1st | Bearish reversal | Close below engulfing |
| Bullish Harami | Downtrend | 2nd inside 1st | Bullish reversal | Close above harami |
| Bearish Harami | Uptrend | 2nd inside 1st | Bearish reversal | Close below harami |
💡 Key Takeaways
- Engulfing = stronger reversal, shows domination.
- Harami = subtle shift, signals slowing momentum.
- Always confirm with next candle + volume.
- Use higher timeframes (Daily/Weekly) for reliability.
❓ FAQs
Do colors matter?
Yes, typical: red→green for bullish, green→red for bearish. Shape & context are more important.
Best timeframe?
Daily & weekly work best. Intraday can be noisy.
How to trade them?
Wait for confirmation candle, place stop beyond pattern, target next support/resistance.
📈 What’s Next?
Next in the series: Advanced Multi-Candle Patterns (Morning Star, Evening Star).
Continue here ➜ Read the next guide
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