I think you have a point, TheFalls. There probably is a connection: the Venus statue without the arms is in keeping with the general theme of the missing arm (Mike), the missing eye (Nadine, One-eyed Jack), and other missing bodily organs that I can't think of right now (Dennis/Denise), etc, that is one of the themes of Twin Peaks.

IMHO, the shows creators decided to put a Venus de Milo statue in the Red Room to subtly suggest the idea of the missing arm.

"I still put my panties on one leg at a time" means "Yes, Cooper, I am still interested in girls."

All but one of the male to female trannies I see at the clubs on a regular basis, and there are many, have all the working male organs, and never intend to give them up. Of my two close "girlfriends" (legally named Coco and Kristina) who've taken hormones for years and have longer natural hair than me, only one of them is gay.  And he's still interested in sleeping with me, the regular way.

I like what Duchovny said in the Gold Box documentary about how he had been thinking of playing Denise more campy and over the top but instead chose the understated, conservative performance. 

Well, TF, I could see where one might have questions.
When he first meets the boys, he says "Pleased to meet you, Sheriff," and offers his hand to kiss rather suggestively. 

Then again, that could be Dennis having fun with the female part, to see if anyone's fooled, kind of like he does with Ernie (putting on lipstick, holding his hand, etc.)  I've thought about this alot, though.  When he dances with Andy, there's a sense of 'this schlub has no idea I'm a guy,' when it's so obvious to Hawk and Truman. 

When Dennis tells Cooper how he found wearing womens' clothing liberating, it makes me think Dennis was just frustrated with his usual uniformed, assertive, government agent tough-guy persona and needed to loosen up and push some boundaries (instead of enforcing them.)

If the statue does indeed symbolize that this is a neutral place/realm, it raises further questions; namely, does that mean that only neutral beings can congregate there, or that its neutrality opens it to beings of both good and evil?

 The giant certainly seems to be a benevolent presence, if not one who is simply trying to "keep the peace;" although his clues for Cooper, and his apparent warnings to him, would seem to indicate that he has noble intentions.

The MFAP is more complicated. He, too, seems to give Cooper clues, which ultimately pay off in helping him identify Leland. However, he could simply be an evil being who is enemies with Bob and going according to the adage "the enemy of my enemy is my friend." If Mike is telling the truth, that his arm was an embodiment of evil, and if the MFAP is in fact a manifestation of this arm, then it would stand to reason that, the arm is evil--> the MFAP is the arm--> MFAP is evil. This splits into two further questions/possibilities: Is Mike telling the truth? He certainly doesn't seem very "good" or "neutral" when he laughs about Bob killing Laura at the end of FWWM. His motives seem more about screwing Bob over than anything altruistic. The possibility is that, whereas we see Bob and his hosts, and the Giant and his (apparent) host, but Mike only seems to apear as Gerard, and the MFAP never seems to inhabit a host, does MFAP=Mike=Gerard?  If this is the case, it still leaves us the questions of, is Mike good/evil/neutral? And dependant upon which of these it is, how does it relate to the symbolism of the Red Room as a neutral ground?