Adding: The act of short selling, in and of itself, manipulates...

Adding: The act of short selling, in and of itself, manipulates market sentiment. Astute investors know short sellers usually win, so will steer clear of companies that are being heavily shorted, regardless of the fundamentals. To put it another way, short selling does not happen in a vacuum, as it affects other market participant's perception of the likelihood of share price of that particular stock increasing, especially when they know that it is usually big money that short sells, and that big money usually gets its way.