EUR/USD cracks 1.1000 as US Dollar recedes across the board

• The EUR/USD has clipped a new 15-week high, cracking the 1.1000 major handle on Tuesday.
• Broader markets are rallying in a risk bid across the board, forcing the USD lower.
• Risk assets like the Euro and Gold are rallying into the Tuesday US session.

The EUR/USD has ticked into a fresh 15-week high above the 1.1000 major handle on Tuesday, fueled by a broad-market US Dollar (USD) selloff that is sending the Euro (EUR) higher as investor risk appetite climbs heading into the mid-week.

Fed’s Bowman: I remain willing to support rate hikes if progress on inflation stalls

Markets are shrugging off appearances from central bank policymakers from both sides of the pond. Federal Reserve (Fed) Governor Michelle Bowman hit newswires stating that the Fed is ready to continue increasing rates if progress on inflation stalls.

ECB's President Lagarde: Central bank to discuss QT in the “not too distant future”

Across the Atlantic, European Central Bank (ECB) President Christine Lagarde noted that quantitative tightening could be on the cards for the ECB sooner rather than later. ECB President Lagarde stated that the ECB's governing council could table QT in the "not-too-distant future" as the ECB grapples with European inflation that continues to overshoot ECB targets.

Next Up: EU Sentiment, US GDP

Wednesday sees European Economic Sentiment and Consumer Confidence figures, while the US market will see the next print of US quarterly Gross Domestic Product (GDP) growth.

Markets are forecasting that Pan-EU Consumer Confidence in November will hold steady at -16.9, in-line with October's print.

On the US Side, GDP growth is expected to tick higher from 4.9% to 5.0% for the third quarter.

EUR/USD Technical Outlook

The Euro's rally fueled by Greenback-selling across the broader FX marketspace sees the EUR/USD clipping into the 1.1000 handle, climbing four-tenths of a percent with further gains on the cards if market sentiment continues to climb.

The EUR/USD easily broke through the 200-day Simple Moving Average (SMA) in mid-November near the 1.0800 handle, and ongoing EUR bullishness is sending the pair steadily higher as the USD waffles.

The pair has potentially climbed too far, too fast with the 50-day SMA still trading well below prices and in bearish territory, and the moving average is currently rotating towards the topside from just north of 1.0650.

The Relative Strength Index (RSI) is flashing warning signs that the EUR/USD may have gone too far, too quickly with the signal line testing into the overbought boundary line, and the pair could see an extended pullback if bears are able to capitalize on any profit-taking.

EUR/USD Daily Chart