Hi, i have been trading FX on a demo account for about a week and its going quite well so far, im still getting my systems in place etc. I came across something interesting today though, the Long-Short ratio indicator. Now heres a question: Does the ratio directly reflect the movement of the trends? can it be used as an indicator wheter to go long or short? Or is it just some statistical exta that has no real use? Id appreciate any enlightenment in to this area.
Thank you on the response, the place i got this info from is Oandas long-short ratio page. I have been away for 1 days (still am) and am using a silly old computer where i cant download the 83 meg java thing due to dialup connection. The chart displays a colour legend for the different currency pairs (GBPUSD,USDJPY, etc.) then has a 100%-0-100% Long-middle-short. Across the chart are displayed the different currencys colour markings. For example USDJPY's colour may be on 75% short while GBPCHZ may be on 30% long.