Pour the orange juice, tequila, and lime juice into a cocktail shaker. Cover and shake to combine.
Strain the orange juice mixture into the prepared glass. Pour the grenadine down the side of the glass and let it settle to the bottom to get the "sunrise" effect.
Garnish with an orange slice and a maraschino cherry.
Notes
Tequila: I used a blanco tequila for a crisp and clean flavor, but you can also use gold or añejo if you prefer.
Don’t stir the grenadine. To get the signature gradient/ombre “sunrise” color, gently pour the grenadine down the side so it settles at the bottom. If you pour it directly over the glass, the ingredients will mix into one color.
Like a little fizz? While traditional garnishes are an orange slice and a maraschino cherry, you can also add a splash of club soda for a fizzy twist.
Make it spicy. Add 1 to 2 slices of jalapeño to the orange/tequila mixture and shake to combine. You can also garnish with a jalapeño.