Recognizing the bearish harami cross

The bearish harami cross occurs in an uptrend and consists of an up setup day followed by a doji for the signal day. The signal day doji must be both a cross and an inside day. Take a look at Figure 8-7 for an illustration of the bearish harami cross.

Figure 8-7:

The bearish harami cross.

Because the doji indicates that indecision ruled the day, I actually prefer the bearish harami cross to the plain old harami reversal pattern. Dojis are rare, and the occurrence of a bearish harami cross pattern is more of an event than the appearance of the bearish harami.

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