In stock trading we came to know about how does the stocks had been traded and we know who handles the counter party risk in the stock market.
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Hi,
In response to your question
Your Query 1 : Need real time example in short selling
If a trader purchases 100 shares of Indian Oil Corporation Limited at Rs 100 each and later on the price of each share falls to Rs 80, then the trader can book profits by short covering them. By short covering at Rs80 each, the trader would be able to earn profit of 20×100= Rs 2000.