Since it didn't say..I am assuming your a girl..please correct me if I'm wrong!
Sounds like she loves you, and needs you, but is a straight arrow. Keep in mind that most every study proves that all of us are at the very least "bi-curios" so that may be why you think she is sending you the wrong signals..additionally, from what I gather she truly does love you intimately (remember friends can be intimate!), but doesn't want anything sexual from you.
It could very well be that she has some passionate feelings for you but, as you know, society, even in this 21st century!, still has a stigma against those that are homosexual or bi-sexual *sigh* (we are working on it though- even as slowly as it is coming along!).
My advice to you is to remain close friends and don't push it, you don't want to mess up a great friendship! In the meantime, keep your closeness and be sure to tell her if your thinking about dating someone, etc. Because it is the intimacy that she wants from you, she is obviously a person that wants to be first in your life, and you will have to let her down easy if you find someone that you want to share your life with forever...she was obviously upset because you didn't let her know what was going on in your personal life...and it's also obvious that she needs you and feels that you are the one person that she can share confidences with.
Who knows what may come later, *shrug* maybe she'll discover (or uncloset) that she really is bi or gay! Does she go on dates with guys?
These things take time...and you may end up dating years from now. BUT in the meantime, she sounds like a very close and intimate friend and true friends don't come along very often (this I promise you-and remember I rarely promise), and I mean REAL friends, not "buddies" or "aquiantainces". Be happy with the relationship that you two have, be open and honest AND be happy for one another! Try to share your personal life with her as much as possible that way she doesn't feel left out, but as I said before, careful not to sound like your bragging.
Don't let this issue come between a great friendship that will likely last years and years! And who knows what else after that? That's one of the beauties of living...it is full of surprises (yep, some of them are bad surprises- but, fortunately, this one is not one of those *smile*).
Hugs and keep in touch!,
Jasmine
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