buy on dips and now shorted, page-3

Cdchi1 - can you explain more for me in simple terms.
1. I understand the shorting has nothing to do with the options, this is clear.
2. The index rebalance, there was obviously a but of a sell down as per SP drop, this could jut be profit takers, etc, people selling due to direction selling news etc, but the index funds and small caps having to buy that pushed it back up, does this mean that this will continue each day or is this a once off? Please explain in more detail, as I just don't understand how the SYR price has suddenly dropped after credit Swiss bought in there has been no bad news and only great news to come. Explain if you can sorry to hassle I am only a novice ....