I am not so sure shorting is such a bad thing for stocks.
As i understand it BRU's 16m of shorted shares are already in place.
In other words the shorters have borrowed the stock, then on sold it at the price they see it will fall from and those 16m shares are now waiting on the shorter to buy them back and return them to the original owner.
As far as i know one needs a margin account to do this so if BRU's margin is 50% they can aquire twice as many shares.
Now this is fraught with danger, especially if the stock rises and the margin holder does not have enough capital in his account to cover.
I dont know how long one can hold on to the borrowed stock but at about 8% interest it might get expensive.
To get back to this 16m in shorts obviously these guys have bought in at different prices, some in the money, some not and have enough capital in their margin account and just hoping for a retrace.
So i'm really not worried there are so many outstanding short positions.
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