Brent Crude Opens with a Bearish Gap
FXOpen
As shown on the XBR/USD chart, Brent crude oil opened this Monday morning around $59.00, forming a bearish gap relative to Friday’s closing price of approximately $61.40.
The current Brent crude oil price is near the yearly low reached about a month ago, following the announcement of Trump’s tariffs, which turned out to be significantly higher than expected.
Why Is Oil Falling?
As we noted on 30 April, market participants are closely watching news related to OPEC+. Over the weekend, during an online meeting (according to media reports), the following developments occurred:
→ It was stated that the current oil market is fundamentally healthy;
→ A decision was made to accelerate the pace of oil production increases.
According to the plan, output will rise by 411,000 barrels per day — with some believing this move is partly due to certain OPEC+ countries previously failing to adhere to production quotas.
Technical Analysis of the XBR/USD Chart
Oil price movements in 2025 form a descending channel (shown in red), with progressively lower highs and lows indicating bearish sentiment.
Although bulls may hope that the lower boundary of the channel could act as support, bears are showing signs of dominance (as indicated by arrows):
→ the median line of the channel previously acted as resistance;
→ now, similar behaviour is seen at line Q, which divides the lower half of the channel into two quarters;
→ the Rounding Top pattern also signals strong selling pressure.
Fundamentally, oil prices are supported by China’s willingness to negotiate tariffs with the US. However, considering the OPEC+ decision and ongoing fears of a global recession, the current downward channel on the Brent crude oil price chart is unlikely to lose relevance any time soon.
Start trading commodity CFDs with tight spreads (additional fees may apply). Open your trading account now or learn more about trading commodity CFDs with FXOpen.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Stay ahead of the market!
Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.
Latest articles
Nasdaq 100: 48 Hours of Chaos, One Trendline Standing in the Way
Wall Street just lived through one of its wildest 48 hours of the year. On Wednesday, the Fed held rates steady at 3.50%-3.75%, but three FOMC members broke ranks to demand a hike—an unusually hawkish dissent
Amazon Analysis: Strong Earnings Coincide with a Breakout from the Correction
On 30 July, Amazon.com reported its financial results for the second quarter of 2026, significantly exceeding market expectations. Revenue rose 20% year-on-year to $200.6 billion, compared with the consensus forecast of around $196.5 billion. The main growth
GBP/USD and EUR/GBP Await Key Bank of England Decision
The pound strengthened following the outcome of the US Federal Reserve meeting, where the central bank, as expected, kept interest rates unchanged. However, the Fed did not provide the market with clear signals of an imminent shift towards rate cuts,