Brent Crude Oil Coils Below $110: Breakout Could Unleash a Run Toward $119

Brent crude is pressing against a major resistance zone after several weeks of tightening consolidation. The broader structure remains bullish, with higher lows developing beneath the $110 barrier on the daily chart, while the 4-hour timeframe shows price compressing inside a triangle and holding above a rising moving average. A confirmed breakout above $110 could open the way toward the next major liquidity target around $119.

UKOUSD Daily Chart Analysis

On the daily chart, Brent crude continues to build on the strong recovery that began from the late-June low near $70. Since then, price has established a clear sequence of higher highs and higher lows, keeping the broader bullish structure intact.

The latest phase of the advance has shifted into consolidation directly beneath $110. Price has tested this region several times but, importantly, the subsequent pullbacks have continued to form higher lows along the rising trendline. This creates a constructive ascending-triangle structure, with buyers gradually stepping in at increasingly higher prices while resistance remains fixed near $110.

The Fractals indicator reinforces this view. Recent lower fractals have continued to form progressively higher along the rising support structure, confirming that buyers are defending dips. At the same time, a cluster of upper fractals around the $108–$110 region highlights the concentration of short-term resistance that price is now attempting to overcome.

The latest daily candles are once again pushing toward the top of the range rather than retreating deeply from resistance. That behaviour is important: repeated tests of the same ceiling, while pullbacks become shallower, often indicate that available supply is gradually being absorbed.

A decisive daily breakout above $110 would confirm continuation of the current bullish structure. From there, the chart leaves considerable room for price to advance toward $119, where a significant pool of buy-side liquidity remains above the major swing highs formed earlier in the year.

This $119 region is particularly important because several previous highs are concentrated around the same area. A break through $110 could therefore encourage price to seek that liquidity as the next higher-timeframe objective.

(UKOUSD Daily Chart, Source: Ultima Markets MT5)

Key Levels:

• $104–$106: Rising trendline support and the immediate area protecting the bullish structure.
• $110: Major resistance and the key breakout level.
• $119: Main upside objective and significant buy-side liquidity zone.

UKOUSD 4-Hour Chart Analysis

The 4-hour chart shows the current compression in greater detail.

Following the strong rally into the $110 area in September, Brent entered a period of consolidation. Price is now trading inside a symmetrical triangle, defined by a descending resistance line from the September high and a rising support line connecting the subsequent higher lows.

The formation is occurring after a strong bullish advance, which gives the pattern a constructive continuation bias. More importantly, price has recently pushed back toward the upper boundary of the triangle and is testing the descending trendline around the $108 area.

The moving average also supports the bullish setup. It is rising steadily beneath price and has repeatedly acted as dynamic support throughout the consolidation. Recent pullbacks have found demand around or above the average before buyers regained control, indicating that the underlying momentum remains positive despite the sideways price action.

The latest candles are now pressing against the upper trendline, placing Brent close to a potential breakout point. A clean break above the triangle would shift immediate attention back toward $110.

A sustained move above $110 would be the more important confirmation, as it would clear both the short-term consolidation structure and the major daily resistance level. Such a breakout could release the accumulated compression and allow the broader uptrend to resume toward $119.

UKOUSD Bullish Breakout Scenario

The daily and 4-hour structures are currently pointing in the same direction.

On the daily timeframe, Brent is forming higher lows beneath $110, while the Fractals indicator confirms continued demand on pullbacks. On the 4-hour chart, price is compressing inside a triangle, holding above a rising moving average and once again challenging the pattern’s upper boundary.

A confirmed breakout above the H4 triangle would provide the first signal that bullish momentum is expanding again. The decisive level, however, remains $110. A sustained break above this resistance would strengthen the continuation setup and expose the large buy-side liquidity pool near $119.

(UKOUSD 4H Chart, Source: Ultima Markets MT5)

Bullish targets: $110 → $119.