The market is in a downward trend. The harami kereskedés day is a long black candle. The black candle is followed by a Doji.
Its body is totally covered by the previous candle. The shadows of the Doji are not necessarily covered, but the more is covered, the more certain the forecast. Interpretation Bullish Harami Cross reflects uncertainty on the market.
After the long black candle, on the next day, the market opens higher than its closing. The narrow trading range forms a Doji. This formation has only medium reliability, it is recommended to wait for a confirmation on the third day.
It is not recommended for short position owners to ignore the Bullish Harami Cross signal. It is recommended but not necessary to wait for a confirmation about the trend reversal on the third day. The confirmation could come from a white candle with an upward gap or a higher closing price.
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