Comment Re:Netflix says they will just change the envelope (Score 4, Informative) 268
Why would someone that shorted the stock want to buy more at a lower price ? Perhaps you do not understand the concept of "shorting" a stock.
You need to look at what's probably going to happen. This FUD, if public enough, may cause Netflix stock to drop. This represents an opportunity for traders with a short position to cover by buying at a lower price. This also represents an opportunity for people who want to buy stock to do so at a lower price. The next expectation is that when the world realizes this is no big deal for Netflix, the stock will rise again and all those who bought low will have earned something on their investment.
Maybe you think that the suggestion was for the short-sellers to short some more at the lower price? That, indeed, would be an unwise move.