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Oracle Corp - (ORCL) - March 13, 2024

Oracle Corp. (ORCL) continues to work its way back up the rankings in the SIA S&P 100 Index Report. ORCL spent much of 2023 in the green zone but drifted down from the top of the report down into the red zone between July and December.

Since the start of this year, Oracle’s relative strength has rebounded. Yesterday, the stock jumped 11.75% as traders responded positively to better than expected earnings driven by increased AI related demand for its cloud computing services. This propelled the shares up 13 positions within the Yellow Neutral Zone to 29th place, three spots away from a return to the green zone. Oracle (ORCL) shares staged a major breakout yesterday. A steady drift downward through the second half of 2023 was contained by support near the $100.00 round number toward the end of last year. Over the first two months of this year, the shares came under renewed accumulation, as shown by the new uptrend of higher lows which emerged.

Yesterday, the shares completed a bullish Ascending Triangle pattern as ORCL blasted through $117.50 resistance with an exclamation point staging a big breakaway gap upward on a spike in volume. The shares jumped through $126.50 to reach a new all-time high as well, signaling the start of a new advance. Based on a measured move from the triangle, next potential upside resistance may appear near in the $135.00 to $137.50 zone, followed by the $150.00 round number. Initial support moves up toward $120.00.

Oracle (ORCL) shares went on quite the roller coaster ride in 2022-2023, staging a big selloff, then a big recovery and a breakout rally. Since June, however, the shares had been stuck in a sideways range consolidating previous gains. In January, ORCL successfully retested $100.00 round number support which it used as a launch pad for its current advance.

Earlier this month, ORCL established a higher low and since then, accumulation has accelerated, signaled by bullish Triple Top and Spread Triple Top breakouts that have carried the shares to new all-time highs. Horizontal counts suggest the potential for upside resistance near $135.25, $155.35 and $171.50 on trend. Initial support appears near $117.70 based on a 3-box reversal.

With a bullish SMAX score (which is a near-term 1 to 90-day indicator comparing an asset against different equal-weight asset classes) of 8 out of 10, ORCL is exhibiting short-term strength against the asset classes.

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