Cheetah Mobile Cl A (CMCM $33.08) finished the session unchanged after highlighted in yellow in the earlier mid-day report (read here) with pivot point cited based on its 5/20/15 high while building a flat base. It is still perched within close striking distance of its 52-week high following a volume-driven gain when noted with caution on 6/18/15 in the mid-day report, and it has now built a short flat base of sufficient length.

Subsequent gains above the pivot point backed by at least +40% above average volume are needed to trigger a proper technical buy signal. Recent lows define near-term support in the $30 area above its 50 DMA line ($28.97) where violations would raise concerns.

It has reported earnings increases of +300%, +250%, +150%, and +80% for the Jun, Sep, Dec '14 and Mar '15 quarterly comparisons, respectively, versus the year ago periods. The quarterly earnings increases were well above the +25% minimum guideline (C criteria), but the deceleration in its earnings growth rate is of some concern. It has still been showing strong sales revenues growth rates as it reported earnings +80% on +113% sales revenues for the Mar '15 quarter .

Its limited annual earnings (A criteria) history is a concern, while it has made choppy progress since its $14 IPO on 5/08/14. The number of top-rated funds owning its shares reportedly fell from 50 in Jun '14 to only 27 as of Mar '15, however, its current Up/Down Volume Ratio of 1.8 is an unbiased indication its shares have been under accumulation over the past 50 days. The Computer Software - Security group has the highest possible Group Relative Strength rating of 99, a reassuring sign concerning the L criteria.