Harami Cross

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DEFINITION of 'Harami Cross'

A trend indicated by a large candlestick followed by a doji that is located within the top and bottom of the candlestick's body. This indicates that the previous trend is about to reverse.

Harami Cross

BREAKING DOWN 'Harami Cross'

A Harami cross can be either bullish or bearish, depending on the previous trend. The appearance of a Harami Cross, rather than a smaller body, increases the likelihood that the trend will reverse.

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RELATED FAQS
  1. How are Harami Cross patterns interpreted by analysts and traders?

    The harami cross is a common candlestick reversal pattern consisting of two candles, with the second nesting within the range ... Read Full Answer >>
  2. How effective is creating trade entries after spotting a Harami Cross pattern?

    Because this pattern is relatively common, entering a trade following a harami cross can have mixed results. The harami cross ... Read Full Answer >>
  3. How do I build a profitable strategy when spotting a Harami Cross pattern?

    A number of actors must be taken into account when forming a trading strategy based on the harami cross pattern. Because ... Read Full Answer >>
  4. What assumptions are made when conducting a t-test?

    The common assumptions made when doing a t-test include those regarding the scale of measurement, random sampling, normality ... Read Full Answer >>
  5. How are double exponential moving averages applied in technical analysis?

    Double exponential moving averages (DEMAS) are commonly used in technical analysis like any other moving average indicator ... Read Full Answer >>
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    Common oscillator readings to consider making a buy or sale are below 20 or above 80, respectively. More aggressive investors ... Read Full Answer >>

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