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The best way to understand what a hook does is to look at where it occurs in the source code.
do_action( "hook_name" )apply_filters( "hook_name", "what_to_filter" ).Remember, this hook may occur in more than one file. Moreover, the hook's context may change from version to version.
| Line | Code | 
|---|---|
| 127 |  | 
| 128 |      // Generate something random for a password... md5'ing current time with a rand salt | 
| 129 |      $key = $_GET['key']; | 
| 130 |      if ( empty($key) ) | 
| 131 |           die( __('Sorry, that key does not appear to be valid.') ); | 
| 132 |      $user = $wpdb->get_row("SELECT * FROM $wpdb->users WHERE user_activation_key = '$key'"); | 
| 133 |      if ( !$user ) | 
| 134 |           die( __('Sorry, that key does not appear to be valid.') ); | 
| 135 |  | 
| 136 |      do_action('password_reset'); | 
| 137 |  | 
| 138 |      $new_pass = substr( md5( uniqid( microtime() ) ), 0, 7); | 
| 139 |       $wpdb->query("UPDATE $wpdb->users SET user_pass = MD5('$new_pass'), user_activation_key = '' WHERE user_login = '$user->user_login'"); | 
| 140 |      $message  = sprintf(__('Username: %s'), $user->user_login) . "\r\n"; | 
| 141 |      $message .= sprintf(__('Password: %s'), $new_pass) . "\r\n"; | 
| 142 |      $message .= get_settings('siteurl') . "/wp-login.php\r\n"; | 
| 143 |  | 
| 144 |      $m = wp_mail($user->user_email, sprintf(__('[%s] Your new password'), get_settings('blogname')), $message); | 
| 145 |  |