HSBC's (NYSE:HBC) China "flash" PMI rose to a two-month high of 49.8 in August, up from 49.3 in July. The preliminary version of the PMI output index also showed improvement, rising to 49.4 in August, from 48 in July.

Economists at HSBC noted the headline PMI data was consistent with industrial production growth of about 13% year-over-year and that the new export order index rose to a three-month high.

HSBC Holdings should find initial resistance at its 50-day moving average (MA) of $47.82 and further resistance at its 200-day MA of $52.00.

In the last five trading sessions, the 50-day MA has fallen 1.06% while the 200-day MA has slid 0.36%.

HSBC Holdings plc is the holding company for the HSBC Group. The Company provides a variety of international banking and financial services, including retail and corporate banking, trade, trusteeship, securities, custody, capital markets, treasury, private and investment banking, and insurance. The Group operates worldwide.