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Cloud Computing Provisions Scalable Resources For High Performance Industrial Applications. Cloud Providers Usually Offer Two Types Of Usage Plans: Reserved And On-demand. Reserved Plans Offer Cheaper Resources For Long-term Contracts While On-demand Plans Are Available For Short Or Long Periods But Are More Expensive. To Satisfy Incoming User Demands With Reasonable Costs, Cloud Resources Should Be Allocated Efficiently. Most Existing Works Focus On Either Cheaper Solutions With Reserved Resources That May Lead To Under-provisioning Or Over-provisioning, Or Costly Solutions With On-demand Resources. Since Inefficiency Of Allocating Cloud Resources Can Cause Huge Provisioning Costs And Fluctuation In Cloud Demand, Resource Allocation Becomes A Highly Challenging Problem. In This Paper, We Propose A Hybrid Method To Allocate Cloud Resources According To The Dynamic User Demands. This Method Is Developed As A Two-phase Algorithm That Consists Of Reservation And Dynamic Provision Phases. In This Way, We Minimize The Total Deployment Cost By Formulating Each Phase As An Optimization Problem While Satisfying Quality Of Service. Due To The Uncertain Nature Of Cloud Demands, We Develop A Stochastic Optimization Approach By Modeling User Demands As Random Variables. Our Algorithm Is Evaluated Using Different Experiments And The Results Show Its Efficiency In Dynamically Allocating Cloud Resources.