3-candle pattern · bearish bias
Three Inside Down candlestick pattern
Three inside down is a bearish harami followed by a third candle that closes below the first candle's open.
How to identify it
- A large green candle after an advance.
- A small candle inside its body (a bearish harami).
- A third red candle closing below the first candle's open.
Where it matters: Appears after an advance, near a high.
What it means
Buying stalled, then sellers took control.
What confirms it
The third candle's close below the first candle's open.
What invalidates it
A close above the first candle's high.
Common mistakes
- Acting on the harami alone.
Frequently asked questions
Is three inside down bearish?
Yes. It is a confirmed version of the bearish harami.
Where is it invalidated?
A close above the first candle's high.
Related candlestick patterns
Educational content only, not financial advice. Chart patterns describe probabilities, not certainties, and every pattern can fail. See our disclaimer.
