Let's clarify the terminology a little first:
- Node: an Elasticsearch instance running (a java process). Usually every node runs on its own machine.
- Cluster: one or more nodes with the same cluster name.
- Index: more or less like a database.
- Type: more or less like a database table.
- Shard: effectively a lucene index. Every index is composed of one or more shards. A shard can be a primary shard (or simply shard) or a replica.
When you create an index you can specify the number of shards and number of replicas per shard. The default is 5 primary shards and 1 replica per shard. The shards are automatically evenly distributed over the cluster. A replica shard will never be allocated on the same machine where the related primary shard is.
What you see in the cluster status is weird, I'd suggest to check your index settings using the using the get settings API. Looks like you configured only one shard, but anyway you should see more shards if you have more than one index. If you need more help you can post the output that you get from elasticsearch.
How many shards and replicas you use really depends on your data, the way you access them and the number of available nodes/servers. It's best practice to overallocate shards a little in order to redistribute them in case you add more nodes to your cluster, since you can't (for now) change the number of shards once you created the index. Otherwise you can always change the number of shards if you are willing to do a complete reindex of your data.
Every additional shard comes with a cost since each shard is effectively a Lucene instance. The maximum number of shards that you can have per machine really depends on the hardware available and your data as well. Good to know that having 100 indexes with each one shard or one index with 100 shards is really the same since you'd have 100 lucene instances in both cases.
Of course at query time if you want to query a single elasticsearch index composed of 100 shards elasticsearch would need to query them all in order to get proper results (unless you used a specific routing for your documents to then query only a specific shard). This would have a performance cost.
You can easily check the state of your cluster and nodes using the Cluster Nodes Info API through which you can check a lot of useful information, all you need in order to know whether your nodes are running smoothly or not. Even easier, there are a couple of plugins to check those information through a nice user interface (which internally uses the elasticsearch APIs anyway): paramedic and bigdesk.
