The theory is that of congestion. This past few weeks and months, EU has been in a ranging state which might mean it's building up steam for a potentially severe earthquake. If it happens, it probably would head first to around 1.3420 at the end of 2 weeks, and then cliff
dive all the way down to around 1.1763. If it actually comes about, it would likely signal a trend change to the upside for a very long while.
It's just an idea of what might happen if certain stuff play out, so be cautious, get some more data, and have fun! :D