IMUGENE CHART. TA only, page-29663

Hi @DickyB
I beleive that the majority of the shorts are hedges, those that aren't would indeed want the price to go lower.

How does this impact my analysis? It doesn't. This is because the effect that the shorts are having on the price is shown on the chart. As an example in extremes, with zero shorts the chart would reflect more bullish tendencies. With 80% shorts the chart would show more bearish tenancies. This is the advantage of using a moving average method. All these little fluctuations of change, whether it be shorts, or fundamental ripples from macros or company, or some big whale adjusting positions, they all have an affect on the price, and this is reflected in the average price. Using the w5 averages out 5 the last 5 bars so it is very quick to respond to any slight changes. The e21 is also relatively fast, however it has the advantage of less noise - it filters out the irrelevant fluctuations. And so on and so on until we get to the 200 which only responds to long term fundamental changes.

This is why I am confident that anything that has an affect on the price will be automatically factored into the method I use. I personally don't need to worry about shorts, biotechnology index, asx200 index, oversees comparisons or anything like that. Because as they affect the price in IMU it is automatically reflected in the MAs

I hopehope that answers your question.