The defeat ended a 19 match unbeaten run at home, and Magilton felt his side could have performed better: "I felt we were poor, especially in the first-half. They were stronger than us physically and mentally and we had no one brave enough to get on the ball.
"Both goals were poor from our point of view, especially the first one when I'm sure our 'keeper will put his hands up to.
"It was only when Shumi came on that we started to get people on the ball. He wanted the ball and tried to get us going.
"I have said all along that Watford are a strong side and if you finish above them in the table you are going to be in the Play-Offs at least. They showed how far we have to go still but I'm expecting a reaction when we travel to Crystal Palace on Tuesday night.
"It will be another difficult game and we will have to be a lot better than we were today to get something from the game."