Futures Trading Tips: The Long/Short Ratio
The long/short ratio shows how positions are distributed, not where the market is headed. When positions are heavily concentrated on one side, a move in the opposite direction can trigger a cascade of stop-losses.
Don’t treat the long/short ratio as an entry signal. For a fuller picture, compare it with open interest, funding rates, and price action.
For context: $BTC current price 82080.15 (24h -1.56%).
What situations helped you understand this?
It’s your money—think it through before you act.
The long/short ratio shows how positions are distributed, not where the market is headed. When positions are heavily concentrated on one side, a move in the opposite direction can trigger a cascade of stop-losses.
Don’t treat the long/short ratio as an entry signal. For a fuller picture, compare it with open interest, funding rates, and price action.
For context: $BTC current price 82080.15 (24h -1.56%).
What situations helped you understand this?
It’s your money—think it through before you act.