Oracle Plunges 10.8%, Battles $186-$220 Range

$Oracle(ORCL)$

Oracle Corp(ORCL) Plunges -10.83%: Database Giant Hits Technical Breakdown, $186-$220 Range Battle Intensifies

Latest Close Data

Oracle closed at $198.85 on December 12th (ET), down -10.83% (-$24.16), trading 42.5% below its 52-week high of $345.72. After-hours price recovered slightly to $197.00.

Core Market Drivers

Heavy selling pressure emerged with elevated volume ratio of 3.65x, indicating institutional profit-taking after recent AI-driven rally.

Short volume spiked to 10.27% on Dec 10th, reflecting growing bearish sentiment. Cloud infrastructure competition concerns and valuation reset triggered the sharp decline.

Technical Analysis

Volume surged to 101M shares with massive capital outflows.
MACD shows bearish divergence at -9.24 (DIF) vs -12.25 (DEA), indicating weakening momentum.
RSI(6) crashed to 29.79, entering oversold territory and signaling potential bounce opportunity.
KDJ at 66.67 suggests consolidation phase ahead.

Key Price Levels

Primary Support: $186.23 (today's low)
Strong Resistance: $234.92 (Dec 10th resistance)
Immediate Pivot: $220.92 (key support level)

Valuation Perspective

Current P/E TTM of 46.04x remains elevated vs historical average of 24.46x.

P/S ratio of 9.61x suggests premium valuation despite correction. Forward P/E at 31.69x indicates market expects continued growth moderation.

Analyst Targets

37 analysts maintain average target of $299.47 (range: $175-$400).

Strong institutional backing with 13 Strong Buy + 20 Buy ratings vs only 2 Underperform, indicating long-term confidence despite near-term volatility.

Weekly Outlook

Expect consolidation in $186-$220 range as oversold conditions attract buyers.

Break below $186 could trigger further decline to $175 support. Recovery above $220 would signal trend reversal toward $235 resistance.

Risk Disclaimer

This analysis is for informational purposes only and does not constitute investment advice. Past performance does not guarantee future results. Please conduct your own research and consult with financial advisors before making investment decisions.

For SG users only, Welcome to open a CBA today and enjoy access to a trading limit of up to SGD 20,000 with unlimited trading on SG, HK, and US stocks, as well as ETFs.

🎉Cash Boost Account Now Supports 35,000+ Stocks & ETFs – Greater Flexibility Now

Find out more here.

Complete your first Cash Boost Account trade with a trade amount of ≥ SGD1000* to get SGD 688 stock vouchers*! The trade can be executed using any payment type available under the Cash Boost Account: Cash, CPF, SRS, or CDP.
Click to access the activity

Other helpful links:

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.