Bombay stock Exchange

Short selling means to sell those shares of company which we don’t have it on paper on our account in morning or afternoon but we have to purchase those shares of the same company which we sold in the morning on th paper at any rate prevailing in the market before closing of market for the day. This thing can be done only on intra day trading transaction. Suppose i have sold 100 share of company ABC which i do not have on paper in the morning at the price of Rs. 100 and in the afternoon, I purchase 100 share of company at whatever available price of Rs. 95, 96,97, to complete the transactions, then I will be able to earn the profit of Rs.300 to 500 in a day. but suppose price of of share of company ABC, instead of decreasing, if it increases in same  manner  still I will have to purchase the share at that rate in afternoon to complete the transaction and i will have to bear the loss of 300 to 500. Suppose due to our unluck if rate increases to 108, 109 or 110, still we will have to purchase the share at that rate to complete transaction and bear the losses.