Once a market starts trading sideways it finds it very difficult to suddenly generate impulsive trend-building momentum. There were some very large shorts built up in the EUR since the last ECB meeting and the clever ones got the chance last night to book some healthy profits, and they took their chance. Don’t look a gift horse in the mouth!
The path of least resistance for EUR/USD now would seem to be down, after major new lows overnight, but with trailing stops likely above 1.3685 and again above 1.3750, picking the correct entry level will be very important.