{"id":258957,"date":"2026-01-04T01:30:00","date_gmt":"2026-01-04T09:30:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=258957"},"modified":"2026-01-04T01:37:23","modified_gmt":"2026-01-04T09:37:23","slug":"monthly-crude-oil-bear-leg","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/analysis\/monthly-crude-oil-bear-leg\/","title":{"rendered":"Monthly Crude Oil Bear Leg"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: Crude Oil Futures<\/h2>\n\n\n\n<p>The market formed a monthly <strong>Crude Oil<\/strong> bear leg within the trading range. Bears need sustained follow-through selling breaking below the December low to increase the odds of testing the trading range low. Bulls need consecutive strong bull bars breaking above the 7-bar bear microchannel and the 20-month EMA to show they are regaining control.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Crude oil futures<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Monthly<\/em> crude oil chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low.jpg\" target=\"_blank\" rel=\" noreferrer noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low-680x383.jpg\" alt=\"Crude Oil Monthly - Bears Need Strong FT, Bear Leg, Higher Low, Monthly Crude Oil Bear Leg\" class=\"wp-image-259145\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low-1536x864.jpg 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Monthly-Bears-Need-Strong-FT-Bear-Leg-Higher-Low.jpg 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The December monthly Crude Oil candlestick was a bear bar closing around the middle of its range, with a prominent tail below.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.brookstradingcourse.com\/analysis\/inside-bear-bar-on-crude-oil-monthly-chart\/\" target=\"_blank\" rel=\"noreferrer noopener\">Last month<\/a>, we said traders would watch whether bears could create more follow-through selling below the 20-month EMA, or whether bulls could break strongly above the 6-bar bear microchannel and close back above the 20-month EMA.<\/li>\n\n\n\n<li>So far, the market has continued to trade sideways to down.<\/li>\n\n\n\n<li>Bears want a bear leg to retest the trading range low (April 9).<\/li>\n\n\n\n<li>While the market has traded lower, the move has overlapping ranges, indicating bears are not yet decisively strong.<\/li>\n\n\n\n<li>If the market trades higher, bears want the 20-month EMA or the bear trendline to act as resistance.<\/li>\n\n\n\n<li>They expect sellers above the 7-bar bear microchannel, followed by at least a small retest of the December 16 low.<\/li>\n\n\n\n<li>Bears need sustained follow-through selling breaking below the December low to increase the odds of testing the trading range low.<\/li>\n\n\n\n<li>Bulls see the current move as a bear leg within the trading range and want a reversal from a higher low major trend reversal relative to the April 9 low.<\/li>\n\n\n\n<li>They want the lower third of the trading range to act as support.<\/li>\n\n\n\n<li>Bulls need consecutive strong bull bars breaking above the 7-bar bear microchannel and the 20-month EMA to show they are regaining control.<\/li>\n\n\n\n<li>The market remains in a trading range.<\/li>\n\n\n\n<li>Traders will continue to Buy Low, Sell High (BLSH), buying near the lower third and selling near the upper third, until a clear breakout with sustained follow-through occurs.<\/li>\n\n\n\n<li>The middle of the trading range can act as an area of balance and a magnet.<\/li>\n\n\n\n<li>For now, traders will watch whether bears can create more follow-through selling below the December low, or whether bulls can break above the 7-bar bear microchannel and retest the 20-month EMA.<\/li>\n\n\n\n<li>There could be sellers above the first pullback following the 7-bar bear microchannel.<\/li>\n\n\n\n<li>Poor follow-through and frequent reversals remain hallmarks of trading ranges.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Weekly<\/em> crude oil chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down.jpg\" target=\"_blank\" rel=\" noreferrer noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down-680x383.jpg\" alt=\"Crude Oil Weekly - Inside Doji, Bears Want 2nd Leg Down\" class=\"wp-image-259146\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down-1536x864.jpg 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down.jpg 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>This week\u2019s Crude Oil candlestick was an inside bull doji closing in its lower half, with a long tail above.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.brookstradingcourse.com\/analysis\/weekly-crude-oil-bears-want-a-second-leg-down\/\" target=\"_blank\" rel=\"noreferrer noopener\">Last week<\/a>, we said traders would watch whether bears could produce follow-through selling below the December 16 low, or whether the market would stall and retest the 20-week EMA and the bear trend line.<\/li>\n\n\n\n<li>So far, the market is trading sideways and remains unable to break strongly above the bear trend line.<\/li>\n\n\n\n<li>Bulls view the December 16 selloff as a large wedge bull flag (August 13, October 20, and December 16) and a bear leg within a broader trading range.<\/li>\n\n\n\n<li>They see the market forming a large higher low major trend reversal relative to the April 9 low.<\/li>\n\n\n\n<li>Bulls need consecutive strong bull bars closing well above the 20-week EMA and the bear trend line to show they are gaining control.<\/li>\n\n\n\n<li>Bears recently produced the third sideways-to-down leg (August 13, October 20, and December 16).<\/li>\n\n\n\n<li>They view the last two weeks as a pullback and want a second leg sideways to down to retest the December 16 low.<\/li>\n\n\n\n<li>Bears need consecutive strong bear bars breaking below the December 16 low to increase the odds of another strong leg down.<\/li>\n\n\n\n<li>If the market trades higher, bears want the 20-week EMA and the bear trend line to act as resistance.<\/li>\n\n\n\n<li>Crude Oil remains in a large trading range.<\/li>\n\n\n\n<li>Until there is a clear breakout with sustained follow-through, traders will likely continue to Buy Low, Sell High (BLSH), buying near the lower third and selling near the upper third of the range.<\/li>\n\n\n\n<li>Buyers may appear around the lower third of the trading range.<\/li>\n\n\n\n<li>Traders will watch whether bears can produce a second leg sideways to down to retest the December 16 low, or whether the market continues to stall and retest the 20-week EMA and the bear trend line.<\/li>\n\n\n\n<li>Poor follow-through and frequent reversals remain hallmarks of a trading range environment.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\" \/>\n\n\n\n<h3 class=\"wp-block-heading\">Market analysis reports archive<\/h3>\n\n\n\n<p>You can access all weekend reports on the <a rel=\"noreferrer noopener\" class=\"rank-math-link\" href=\"https:\/\/www.brookstradingcourse.com\/blog\/analysis\/\" target=\"_blank\">Market Analysis<\/a> page.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\" \/>\n","protected":false},"excerpt":{"rendered":"<p>Market Overview: Crude Oil Futures The market formed a monthly Crude Oil bear leg within the trading range. Bears need sustained follow-through selling breaking below the December low to increase the odds of testing the trading range low. Bulls need consecutive strong bull bars breaking above the 7-bar bear microchannel and the 20-month EMA to [&hellip;]<\/p>\n","protected":false},"author":2836,"featured_media":259146,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"shadow","_genesis_layout":"","footnotes":""},"categories":[1892,136],"tags":[325],"class_list":{"0":"post-258957","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-crude-oil","8":"category-analysis","9":"tag-crude-oil-futures","10":"entry","11":"override","12":"shadow"},"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2026\/01\/Crude-Oil-Weekly-Inside-Doji-Bears-Want-2nd-Leg-Down.jpg","author_info":{"display_name":"Andrew","author_link":"https:\/\/www.brookstradingcourse.com\/es\/author\/andrewa\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/258957","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/users\/2836"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/comments?post=258957"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/258957\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media\/259146"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media?parent=258957"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/categories?post=258957"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/tags?post=258957"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}