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    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.

    Highlighted: the 3 candles that form the Three Inside Down. Candles to the left show the trend it needs to appear in.

    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.