The misconception was that with IDSS, short selling was now being practiced in full force in the Malaysian bourse. Firstly, regulated short selling (RSS) has been in Malaysia since 2007. Secondly, short selling in Malaysia is regulated, meaning there is a cap to its maximum downside and trading volume per day. This means that the bulk of the selling on Unisem was not on short selling – it was normal long investors selling down the stock due to its poor results. On top of that, naked short selling – which means selling done without borrowed scripts – is not allowed.

Source: The Star April 28, 2018 00:11 UTC