How can intraday trading be done when settlement takes two days?

External question — Personal Finance Stack Exchange Author: vishal rana Original post: https://money.stackexchange.com/questions/110993 License: CC BY-SA 4.0 — https://creativecommons.org/licenses/by-sa/4.0/ Adaptation: HTML converted to plain text; contact email addresses removed. When I buy a stock on the NSE in India, it takes two days for settlement (T+2). Therefore I can only sell that share after two days after the purchase date. Then, how does intraday trading occur (buying and selling in a single day)? I will not be the owner of that shares on same day so how can I sell them then? How can I sell the shares that I do not yet own? Do I buy and sell the share to and from my broker without waiting for settlement of the shares? Secondly, if I can do intraday trading then why it is called dangerous to buy today and sell tomorrow (BTST)?