Balrog Breaking and Entering

[Inziladun]

I'm still unable to figure what made the Balrog decide to go where it did. If it wanted only to hide, there had to be much better options, far away from any Elves, Dwarves, or Edain. Perhaps it wanted to be close to the action, should Sauron require its services? But then, why did it not openly aid him rather than lying dormant for thousands of years until awakened, then skulking around in the dark bullying cannon-fodder Orcs?
I think I figured out something related though. I'd long wondered about the ultimate source of the 'ill will' and the conveniently bad weather faced by the Fellowship on Caradhras. It was their failure to climb to the Redhorn Gate, of course, that led them into Moria where the Balrog awaited them.

The Dwarves delved deep at that time, seeking beneath Barazinbar for mithril, the metal beyond price that was becoming yearly ever harder to win. Thus they roused from sleep a thing of terror....

Appendix A

Barazinbar was the Khuzdul name for Caradhras. The Balrog would have been quite familiar with the tunnels underneath that mountain. Perhaps it sensed the presence of the Ring, then used its 'divine' powers to defeat the Company's attempt on the Redhorn, knowing they would then be likely to enter its domain?
I'm probably the last to come to that conclusion, and it really isn't on topic, but it came as quite a revelation to me.