Software Stock “Buy” Signal Has Never Been Wrong

The shares of software stalwart Oracle (ORCL) may boast a 57.4% year-over-year lead, but the cloud company and artificial intelligence firebrand has taken a 17.7% haircut in price off its Dec. 9 record high of $198.30. Per the chart below, the pullback has in the first few days of 2025 has taken the stock out of a channel of higher highs brought on by a post-earnings bull gap from September. The good news is that this drawdown to end 2024 — and start 2025 — has ORCL testing a historically bullish trendline, ...