NZD/USD at six week’s highs as China pushes for free trade

• China’s President in a speech at Boao forum said China “should push for free trade.”
• The NZD/USD is trading at 6 week’s highs as bulls are pushing the pair higher. 

The NZD/USD is trading at around 0.7366 up 0.80% on Tuesday as China’s President Xi Jinping pushes for free trade. China is a crucial New-Zealand’s trade partner. 

While speaking at the Boao forum, the Chinese President, Xi Jinping announced that China should “push for free trade.” His comments were very encouraging for global trade as he insisted that “China will not threaten others, will not undermine existing global order.” He also said that China would “sharply widen access to market” and it will lower auto import tariffs. On the question of intellectual property, he said China was ready to strengthen intellectual property protection. The news saw markets worldwide back in risk-on mode.  

Looking ahead on the US macroeconomic front is the Consumer Price Index data and the FOMC Minutes’report scheduled at 12:30 GMT and 18:00 GMT respectively on Wednesday.

NZD/USD weekly chart

The NZD/USD is trading above its 50, 100 and 200-period simple moving averages. The bulls have broken above 0.7355 swing high and are now looking at the yearly highs at 0.7438. 
 
NZD/USD daily chart

The bulls on Tuesday are challenging the 0.7355 swing high level, last time visited in mid-March. The kiwi is trading above its 50, 100 and 200-period simple moving averages.  

NZD/USD 4-hour chart

The bulls are currently in control. Support is seen at 0.7323 swing high and 0.7244 swing low. Resistance is priced in at the 0.74 figure and at yearly highs at 0.7438.