Help with day-trading

Dear all,

I am a newbie to intra-day trading. I have a query.

1) I do not have any shares of company "XYZ". But expecting that stock will go up, I place an "SELL" order for 100 shares @ Rs. 100/-
This order is executed.

2) Now, I need to square off above position. So, I place an order for "BUY" 100 shares @Rs.95/-

Now, stock price can go up or down.

Case1: Stock end price is 90 -> BUY order will be executed. I make profit of 5*100 = Rs.500/ - brokerage. Is my understanding correct?

Case 1: Stock end price is 105 -> BUY order will not be executed. What will happen in this case? Do I lose money? If so, how much? Can some one explain in detail pls?

Thank you.

If you short sell, you will have to square off your positions before end of market hours. So, if the price is 105 at 3.20 pm, you will have to buy back the shares at 105. That would mean a loss of Rs 500 + brokerages. If you don't buy the shares, the shares will be bought in an auction where your losses would be much more.

Day trading is defined as the buying and selling of a security within a single trading day. Day trading is a strategy for playing the stock market, where “playing” means trying to make money. Day trading is designed to produce short-term profit.