Key takeout
- Oracle has increased its cloud infrastructure sales forecast and added notable new clients, driven by strong AI demand.
- The stock is on the verge of potentially reaching new record highs, indicating a continued long-term upward trend.
- Mobile tech analysis suggests an upside target of $384, with essential support levels at approximately $261 and $198.
Oracle (ORCL) has updated its outlook for cloud infrastructure sales, recently adding several large clients amid a surge in AI demand.
The company, which counts major tech firms like Amazon, Alphabet, and Microsoft among its clients, reported that cloud infrastructure sales jumped 77% to $18 billion, exceeding June predictions. CEO Safra Catz mentioned that the goal is to secure billions of dollars in new customer commitments in the upcoming months, aiming to push reserved cloud orders above $5 billion.
As Oracle prepares to release its financial results, its stock has gained 45% in 2025, outperforming the S&P 500 over the same timeframe, due to robust demand for cloud services and AI database tools. Recently, the stock increased by 32%, reaching $318 in pre-market trading.
Let’s examine Oracle’s weekly charts using technical analysis to pinpoint significant pricing levels that investors might focus on.
Flag Pattern Breakout Signals continue bullish
After achieving an all-time high in late July, Oracle’s stock developed a flag pattern ahead of its quarterly outcomes, setting the stage for a lasting uptrend. It seems poised to break into a new high on Wednesday.
Interestingly, the stock recorded its highest trading volume this week since mid-July.
When looking at Oracle’s charts, if there’s an earnings rally following the stock’s extension, it’s wise to identify noteworthy support levels and potential upward targets.
Measured moving upward price target
Investors can establish upward targets through measurement techniques widely used in chart analysis.
Applying these principles to Oracle’s chart indicates a solid upward trend, which involves adding the price preceding the flag pattern to the top trend line. For instance, adding $242 to $142 gives a projected target of $384, suggesting a nearly 60% increase from Tuesday’s closing price.
Important level of support worth monitoring
Future efforts to close the revenue gap may first test the price around $261, a zone likely to attract buying interest due to its proximity to previous highs and flag patterns. This could become a key support area on the chart.
Additionally, just below this level lies a significant area around $198, where investors may look to accumulate Oracle stock, especially given its connection to December’s previous high.
Any comments, opinions, and analysis expressed are for informational purposes only.
As of the date this article was written, the author does not own the above securities.
