Usman Salis
Oracle shares took a beating today, sliding over 7% as bearish sentiment flooded the options market. Trading around $290, the stock is showing clear signs of institutional pressure, with put buyers dominating the flow and technical support levels coming into focus.
What Happened
According to unusual_whales, Oracle Corporation (NYSE: ORCL) dropped 7.23% in early trading, falling from around $298 at the open to as low as $288. Options data from Unusual Whales shows over $40 million in net negative premiums, with puts significantly outweighing calls. This kind of activity usually points to either aggressive hedging or outright bearish bets from larger players. The intraday chart painted a bleak picture—a steady decline with barely any bounce, while put premiums stayed elevated throughout the session.
What to Watch
- Support at $288: This is the immediate level bulls need to defend. Break below that, and $280 could come into play pretty quickly.
- Resistance at $294: For any recovery to gain traction, the stock needs to get back above this level and hold it.
A few things seem to be weighing on Oracle right now. The stock's been trading at a premium compared to its peers, which makes it an easier target when the market gets nervous. Rising bond yields and tighter corporate spending on IT aren't helping either, pushing investors out of enterprise software names. And after a solid run earlier this year, some profit-taking was probably overdue. When you combine valuation risk with macro uncertainty, you get days like this.
Usman Salis
