$AGT Global account long/short ratio: 0.52 (long 34% / short 66%), compared with 0.5 an hour ago.
I used to think that a long/short ratio above 1 meant there were more long positions than short positions across the whole market. Later, I realized that every long position is matched by a short position, so the market as a whole is always balanced. An account long/short ratio above 1 simply means more accounts hold long positions, while short positions are concentrated among fewer accounts.
Some people use the account long/short ratio as a contrarian indicator, but that’s just an empirical rule of thumb, and it doesn’t always work.
Don’t chase trades during the most volatile minutes; wait for the price to settle before deciding.
Just take a look—don’t buy based on this. Make your own decision.
I used to think that a long/short ratio above 1 meant there were more long positions than short positions across the whole market. Later, I realized that every long position is matched by a short position, so the market as a whole is always balanced. An account long/short ratio above 1 simply means more accounts hold long positions, while short positions are concentrated among fewer accounts.
Some people use the account long/short ratio as a contrarian indicator, but that’s just an empirical rule of thumb, and it doesn’t always work.
Don’t chase trades during the most volatile minutes; wait for the price to settle before deciding.
Just take a look—don’t buy based on this. Make your own decision.