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Macro Overview 

Markets are holding stable ahead of a critical CPI report set for release at 8:30 AM tomorrow. With inflation data on the horizon, some traders may look to keep extra cash on hand. Despite broader macro concerns, the market remains resilient, and indices continue to hold key levels. While economic data remains a focal point, today’s action is centered around key earnings releases and notable stock movements. Watch our full pre-market prep video here..

Several major earnings reports were released this morning, including Coca-Cola (KO) and Shopify (SHOP). While $SHOP initially dipped despite strong numbers, it has since bounced back. Additionally, Lattice Semiconductor (LSCC) is up 15% post-earnings, while GlobalFoundries (GFS) is another name on the radar. Looking ahead, earnings reports for Lyft (LYFT), DoorDash (DASH), Upstart (UPST), and SimilarWeb (SMWB) are set for tonight. Tomorrow, investors will be watching Generac (GNRC) and CVS Health (CVS).

Beyond earnings, Donald Trump Jr. and Eric Trump have joined the advisory board of DOMH, a move that sent the stock surging. A private placement raising $13.5 million has also been confirmed, creating significant buzz in the market.

With all this in mind, let’s dive into today’s top trade setups.

Top Picks of the Day

1. Pitney Bowes (PBI) 

📊 Type: Swing
🎯 Target: $10.00-$12.00+

⚡️ Catalyst: PBI is up 6.5% pre-market following our overweight call yesterday. While there is no visible analyst upgrade yet, unusual volume indicates strong buying interest ahead of earnings. Management has already guided to beat their previous EBITDA range, suggesting further upside.

❤️ Sentiment: Strong bullish sentiment, as traders anticipate earnings momentum. Pre-market volume has surged past 100K shares, indicating significant institutional or large retail interest.

📈 Fundamentals: PBI is breaking out to 52-week highs on strong accumulation. If earnings confirm an upward revision in guidance, this could be a major re-rating event for the stock.

📊 Technicals: The stock has cleared the key $9.40 resistance level, with upside targets at $10.00 and $12.00. A move past $12.00 could see further gains, aligning with Godfather’s fundamental price target of $15.00.

Dominion Harbor (DOMH) 

📊 Type: Short-term trade
🎯 Target: $10.00-$12.30

⚡️ Catalyst: The addition of Donald Trump Jr. and Eric Trump to the advisory board, coupled with a $13.5M capital raise, has triggered a sharp rally.

❤️ Sentiment: This is a high-momentum play, driven purely by speculation around Trump-affiliated stocks. Sentiment remains explosively bullish, but traders should be cautious of volatility.

📈 Fundamentals: Market cap still sits at $39M, making it highly responsive to speculative buying. While fundamentals may not support a long-term position, short-term upside remains strong.

📊 Technicals: The stock has cleared key resistance at $9.86-$10.20. If it holds above $10.00, the next target range is $12.00-$12.30. A clean breakout above this level could open the door to $13.50, aligning with Godfather’s fundamental calculation.

GEO Group (GEO) 

📊 Type: Swing
🎯 Target: $27.00-$30.00

⚡️ Catalyst: A potential immigration policy shift has surfaced, with private prison firm CXW suggesting increased ICE contract activity. This indirectly supports a bullish thesis for $GEO, as the company is well-positioned to benefit from any policy-driven demand increase.

❤️ Sentiment: Short-term bearishness due to CXW’s lowered guidance, but GEO remains a high-conviction pick based on the bigger picture.

📈 Fundamentals: GEO remains undervalued, with significant upside potential tied to future policy shifts. The risk/reward profile remains compelling, especially on dips.

📊 Technicals: GEO’s key support levels are $25.85-$26.50. If it holds this range, a move toward $27.00-$30.00+ is likely in the coming weeks.

Closing Thoughts

Today's action highlights the importance of staying ahead of major moves before they happen. Whether it's identifying an earnings winner early, jumping on a high-momentum trade, or playing key support levels, precision is critical.

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