$SIREN Platform-wide account long/short ratio: 1.64 (62.2% long / 37.8% short), compared with 1.79 an hour ago.
If you want to know how big players are positioning, many people look at the long/short ratio—but the two metrics are calculated in completely different ways.
It’s more interesting to look at the account-based ratio alongside the ratio based on large traders’ positions: when they point in different directions, it often means big players and most accounts don’t see eye to eye.
Rather than focusing on the figure at any given moment, it’s often more useful to watch which way the ratio is moving and how quickly.
Understanding this metric is about being less spooked by the numbers, not using them to predict price movements accurately.
You’re responsible for your own risk. I’m just sharing some thoughts.
If you want to know how big players are positioning, many people look at the long/short ratio—but the two metrics are calculated in completely different ways.
It’s more interesting to look at the account-based ratio alongside the ratio based on large traders’ positions: when they point in different directions, it often means big players and most accounts don’t see eye to eye.
Rather than focusing on the figure at any given moment, it’s often more useful to watch which way the ratio is moving and how quickly.
Understanding this metric is about being less spooked by the numbers, not using them to predict price movements accurately.
You’re responsible for your own risk. I’m just sharing some thoughts.