Brent Oil Falls Back Into the Channel: Bullish Breakout Invalidated
08 December 2025
In today's technical analysis, let's see Brent Oil, which is coming back under pressure after failing to sustain last week’s bullish breakout. As you can see, the price escaped to the upside from the channel-down pattern, ending the previous week on a positive note and, in theory, generating a buy signal after a long sideways drift inside this flag/wedge-type structure. That breakout, however, turned out to be short-lived.
Buyers were unable to defend the move above the upper boundary of the formation, and Brent quickly slipped back inside the channel. This immediately turns the breakout into a false breakout, which is a strongly negative development. Once the H4 candle closed back inside the structure, sentiment shifted clearly to the downside, suggesting that bearish pressure is returning.
At this stage, the next key step is the red support, the lower boundary of the channel. A breakout there would be a firm confirmation of the negative sentiment and would likely open the way for a deeper slide. As things stand now, the outlook for Brent Oil appears grim and bearish, and continuation to the downside seems to be the more probable scenario.