Long-short ratios are ratios used in financial analysis to describe the number of shares or assets that an investor holds in a particular stock or asset. The long-short ratio can be expressed as a percentage or as a number. It is calculated by dividing the number of long positions (where the investor has bought shares or assets) by the number of short positions (where the investor has sold shares or assets that they do not currently own). A long-short ratio of 1 means that an investor has an equal amount of long and short positions, while a ratio of greater than 1 means that an investor has more long positions and less short positions. Long-short ratios are used by investors to determine the overall sentiment of the market towards a particular stock or asset and to make informed investment decisions based on this information.
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