CREE - Analysis for 09.12.2007

Tobin Smith and his Bright Investment Idea - Bye Bye Bulbs. Riding the LED wave.
"CREE -- the granddaddy of white-light LED makers ... if you don't own CREE you're a bonehead, because CREE is the killer-value play when it comes to white-light LEDs.
Let's see how the charts currently look like.


The monthly chart shows the stock losing over 90% of its value from its highs made in March 2000. Price has been stuck in a wide range since its lows were made in 2002. Bulls and bears were undecided during July and August.


The weekly chart currently shows a potential double top. Watch for price action to see whether the bearish momentum is strong enough to take stock price back down to test the lows at $15.27 area.


The daily chart shows potential double top made. Overzealous bulls gapped up the price at the open in early September, only to be met with selling. IF there is continued selling, THEN downside target is $21 to $18 dollar area for now.