Approaching Support- Oracle

Published on Friday, 23 December 2011 07:36 Written by Danny Miller

New York, December 23rd (TradersHuddle.com) - Shares of Oracle Corporation (NASDAQ:ORCL) finished near calculated support at $24.91.

Current price action with, the enterprise information management software provider closed at $25.69 has left shares at a level that needs to be monitored closely by traders wanting to start or add into a position in the stock.

Oracle's current stock range is defined by current calculated support defined at $24.91 and by the resistance level at $32.24.

The area defined as calculated support, is where we expect for buyers to likely materialize, which could provide a lift to the shares. However, this area if breached will signal participants that the stock failed to entice buyers to step in an support the stock.

Traders wanting to establish a position should pay close attention to Oracle's price action, and establish a position as close to support as possible, but only after buying materializes. Traders should understand that the resistance point at $32.24 might limit their upside, however if the stock breaks resistance, it could be a good point to add to the position.