Trading a Pre-Earnings Momentum Run in Planet Labs (PL)

Why It Matters

PL’s pre‑earnings setup combines strong price momentum with a high short‑float, offering traders a chance to profit from both upside moves and a potential short‑squeeze around the June earnings report.

Key Takeaways

• PL shows 10% average pre‑earnings gain over 21 days
• Upcoming earnings expected first week of June, still time to position
• Stock exhibits multiple post‑earnings breakaway gaps, indicating bullish momentum
• Short‑float near 15% suggests potential short‑squeeze opportunity for traders
• Analyst bought long calls, recommends adding more as price rises

Summary

The video spotlights Planet Labs (PL) as a pre‑earnings momentum play, highlighting a 21‑day average rally of roughly 10% leading into its upcoming earnings, projected for the first week of June.

Danielle points out several technical catalysts: the stock entered a “hot zone,” pulled back to the 34‑day EMA, and shows clear price targets at $45 and $50. A short‑float of about 15% creates squeeze potential, while multiple breakaway gaps post‑earnings signal sustained buying pressure.

She notes, “When a ticker has breakaway gaps… it’s a really bullish sign,” and references last quarter’s pull‑back followed by similar gaps. Danielle entered the trade with long call options in the Master Trade Room and suggests adding to the position as the stock climbs.

If the bullish patterns hold, traders could capture significant upside and benefit from a possible short‑squeeze, making PL a compelling candidate for risk‑managed options strategies ahead of the earnings release.

Original Description

PL is one of my favorite Earnings Hot Zone picks, because it has demonstrated that it consistently rallies both before and after earnings, and it has entered the Hot Zone today with 15% high short float. Check out my price targets and options ideas in the video.

⏱️Chapters:

0:00 PL Stock Trade Idea Overview

0:09 Earnings Hot Zone Stats + Early June Earnings Window

0:26 Bullish Setup: Pullback Buy at the 34 EMA

0:34 Price Targets: $45 Then $50

0:43 Breakaway Gaps = Strong Institutional Demand

1:10 Short Float Near 15% + Short Squeeze Potential

1:23 Options Plan: June Calls + Trade Room Invitation

Want to know when to buy and sell with zero guesswork? Join Sam Shames for a FREE live demo to learn how he eliminates false signals and executes trades with precision. http://simplertrading.com/momentum?utm_campaign=tmsp&utm_spec=2026-q2-ss&utm_medium=organic_social&utm_source=youtube&utm_term=web-reg

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