Shares of Oracle (ORCL - Get Report)  ripped higher in Thursday's trading session, closing higher by 8.1% to $56.99 after the company's better-than-expected earnings release.

The move has Oracle stock tearing to new highs, with investors looking for even more upside after a healthy report. Earnings of $1.16 per share beat estimates by 8 cents, while revenue of $11.14 billion grew 1.2% year-over-year and topped estimates by more than $200 million.

As if a top- and bottom-line beat weren't enough, though, Oracle management issued guidance that came in ahead of consensus expectations. Their second-quarter range for non-GAAP earnings of 81 cents per share to 83 cents per share topped consensus expectations of 80 cents per share. Revenue growth expectations of 0% to 2% is a little light, but still good enough for investors. As CEO Safra Catz said on the call, "for fiscal year 2020, I expect total revenue will grow faster than last year, constant currency of course, and that we will once again report double-digit EPS growth."

It's no wonder this is Real Money's stock of the day

That's giving investors confidence to bid this name higher. It's also giving a lift to other players, like Adobe Systems (ADBE - Get Report) and Salesforce (CRM - Get Report) . How much higher can Oracle stock continue? Let's look.

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Trading Oracle Stock

Weekly chart of Oracle stock.
Weekly chart of Oracle stock.

This one is pretty clear-cut, at this point: Oracle stock is in breakout mode.

While the stock did break below prior range resistance at $51.50, the move was only temporary as selling pressure piled up in late-May. On the plus side, though, prior resistance near $50 held as support, while Oracle stock quickly reclaimed the $51.50 mark. Further, ORCL stock quickly broke out over short-term downtrend resistance (purple line) last week. This week's gains only add fuel to the fire.

At this point, I wouldn't be surprised to see Oracle stock continue up to channel resistance (blue line), currently up near $58 to $59.

Should the rally slowly but surely grind higher, it could put Oracle above $60. So could an overshoot through resistance. Either way, more upside should come as little surprise. Particularly if tech stocks and cloud stocks begin to gain some momentum into July.

On the downside, I want to see $55 to $55.50 hold as support. Those are the prior highs at which Oracle stock stalled out in April. I would also like to see the 10-week moving average hold as support. Below these marks and the $51.50 level is technically possible.

If support holds, though, ORCL stock could rally on second-half momentum.

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This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.