Technically good, storyline meh Well....
As a lover of the books (all of them) I can honestly say this is NOT LOTR.
Sure it's good technically, but the dialogue is horrendous, so far the story makes no sense, one wonders why any of the events in episode 2 are happening, I don't care about any of the characters yet, and it appears to be searching for a purpose. And why would the elves, who prefer peace, want to build that forge at all?
The graphics were certainly more than good, but to keep viewers the story has better start going somewhere. So far no go. Only time will tell.
But I have to say I think Tolkien would not be happy.