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This pattern signals a trend...	How to identify...	Similar pattern(s)...
Reversal	The 1st day is a long black day. The 2nd day is a short day whose body is engulfed by the 1st day's body.	The Bullish Harami formation is the 1st two days of the Bullish Three Inside Up formation.

Psychology...

A long 1st day with high volume in the existing downtrend brings complacency to the bears. The next day trades in a small range within the previous day's real body. Light volume on the 2nd day should give rise to concern by the bears of an impending change of trend. Look for higher prices over the coming days, especially if the next day provides confirmation of a trend change by closing higher.

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