The Cisco Kid on the Comeback Trail

After earnings, the large cap, mature tech play Cisco Systems is leaving its prior 2007 bull market peak in the dust, as you can see the monthly chart, below, indicate that the door is now open for CSCO to stage a fresh leg higher. 

As tough as that may be to grasp for some, given the bull run in the broad market heretofore, it simply it is what it is. And bears necessarily must now reverse names like CSCO down hard on heavy sell volume to negate these types of long-term breakouts if their thesis is going to come to fruition anytime soon. 

Along the lines of comeback names, CREE has quietly been improving this autumn and is a bit sexier of a play than CSCO to trade. 

Finally, we still have our eyes on potential buyout targets for CSCO, since their resurgence may embolden them to take more risks and buy small-mid cap tech firms with great growth.