Sorry Ichimoku...that's the way it works...and it CAN work to your benefit.
Shorts are not all bad.
The ability to short a stock was not built into the way our markets function for the purpose of harming shareholders. Shorting was built in to protect the shareholders.
Hypothetical: You have a stock that is running, for no apparent reason, it's trading at 20.00 per share. The fundamentals cannot come close to supporting that pps. Fundamentals dictate that the stock should be 1.00 per share. Do you want to be the one buying the stock at 20.00 or do you want the market to work the way it's designed to work by allowing the shorts to come in and control the artificially inflated, unsubstantiated price of the stock by knocking it back down to where is should be trading, based on fundamentals?
By allowing the short, that keeps the price from continuing to become artificially inflated, protecting the shareholder from paying too much money for a stock that cannot support that price.
I know this is not a popular view and I know this is not what a "long" wants to hear. And yes, I do know that shorting can be and is abused. All I'm saying is, please try to understand that shorting can and is designed, to protect investors. And, a naked short can help support your stock because they have to cover...bid support is nice to have.
