I’m sure most of this is wrong. Depends on how many shares they hold in both directions. The scramble if they have too many either way. They create liquidity. So on a run up they sell shares to traders and when traders sell they buy them. It’s balance game and need to know things to be able to facilitate such actions or get ahead of the curve.

Hence why they only way to beat shorts and MMs is to not sell. Plain and simple.