— Oracle stock is pulling back mildly after a mixed earnings report. Before you buy the dip, check out this potential support zone. —
By Bret Kenwell, TheStreet.com 
The stock market is still trying to find its footing — and to some degree, so is Oracle (ORCL).
But the Austin customer-relations-management-software specialist is down more on Tuesday than the S&P 500 is from its all-time high, even after the index declined in five straight sessions until Monday.
Oracle is down 4% on the day after reporting mixed earnings, but was down almost 5% at the lows.
The company missed on revenue estimates but beat on earnings expectations. Given the importance of revenue growth – particularly in tech – the selloff seems appropriate.
That's even more true as the shares were hovering near the highs. Oracle may be considered old tech, but that doesn't mean it's not a focus during the day. (It is likely to be overshadowed by Apple (AAPL) once the iPhone event begins.)
In any regard, investors want to know whether Oracle is a buy-the-dip candidate after Tuesday's decline. Let's look.
Trading Oracle Stock
Interestingly, Oracle stock is dipping down into an attractive area.
The shares are bouncing off the prior high set near $85. This level was also a breakout zone a few months ago. While it's not attractive to see the stock lose the 50-day moving average, holding $85 provides at least one positive.
The other positive is the 21-week moving average.
Admittedly, Oracle stock has not actually tested this mark, as it's now bouncing from the lows. But as long as the stock stays above this moving average, the bulls have an argument for being long
Above today's high and Oracle can begin filling the overhead gap and potentially test back into the 10-day and 50-day moving averages.
Should it lose the 21-week moving average and $85 level, $80 could be on the table. If the market really starts to roll over, Oracle stock could eventually test its 200-day moving average.
The bottom line is simple: Avoid Oracle if it seems too risky for your trading style.
Otherwise, keep an eye on today's low, the 21-week moving average and the $85 mark. This trio is the best way to judge one's risk in the stock over the short term.
From TheStreet.com