What Is a Harami Pattern

The mother and the baby

A harami is a small candle whose body sits inside the body of the large candle before it. The euro against the dollar drew one on 16 and 17 September 2025. The first day was a large green candle with a body of 106 pips — a pip being the fourth decimal place, the smallest step most people count in. The second was a red candle whose body, open to close, sat entirely inside the first one's body. The word is Japanese for pregnant: the large candle is the mother and the small one the baby. The second day's wick reached above the mother's high, and that does not matter, because the rule is about bodies.

The baby's day

Open the second day into its hours and the baby is a day that mostly went nowhere. For twenty hours the price drifted inside the mother's body. At nine in the evening one hour went 52 pips above the mother's high and came straight back, and the last hours settled at 1.18121, inside the body again. That one hour is the wick that pokes out on the daily chart. The body — where the day opened and where it closed — never left the mother's, and the body is what the rule looks at.

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