when a pn junction is forwardbiased it behaves as short circuit p type n type open circuit which one is right
Look at the diode characteristic curves.
With the junction forward biased and as long as the threshold voltage is exceeded, it will behave as an approximate short circuit. i.e. current is unlimited.
In practice, there is a small resistance across the junction, which is the reason why diodes must have a series current limiting resistor in circuit - to avoid destruction of the diode through excessive power dissipation.