A possible breakout setup was detected on ORACLE CORP (NYSE:ORCL) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:ORCL.
Technical Analysis Observations
ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.
Overall ORCL gets a technical rating of 7 out of 10. In the last year, ORCL was one of the better performers, but we do observe some doubts in the very recent evolution.
- The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
- When comparing the yearly performance of all stocks, we notice that ORCL is one of the better performing stocks in the market, outperforming 86% of all stocks.
- ORCL is part of the Software industry. There are 369 other stocks in this industry. ORCL outperforms 81% of them.
- ORCL is currently trading in the upper part of its 52 week range. The market is still in the middle of its 52 week range, so ORCL slightly outperforms the market at the moment.
- In the last month ORCL has a been trading in a tight range between 86.15 and 91.22.
How do we evaluate the setup for NYSE:ORCL?
Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:ORCL this score is currently 8:
ORCL has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. A pullback is taking place, which may present a nice opportunity for an entry. There is a support zone below the current price at 86.19, a Stop Loss order could be placed below this zone.
How can NYSE:ORCL be traded?
A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.
This article should in no way be interpreted as trading advice. You should always make your own analysis and trade or not trade based on your own observations and style. The article is based purely on some technical observations.
Every day, new breakout setups can be found on ChartMill in our Breakout analyzer.
