Exactly that way
Wrong.
The only ratings that make a difference to your overall score (which in turn make you go green or red) are ratings from users in Default Trust levels 1 and 2.
For example, if a user such as minerjones, Lauda, Lutpin, Blazed or myself (among many other users in DT..) leave a rating on an account for a successful trade, it will be visible to all by default, and therefore goes under "Trusted Feedback" for everyone to see.
For anyone outside Default Trust, they can still leave you a rating, but it goes under "Untrusted Feedback" and will make no difference whatsoever to your trust score (it will remain 0).