Hi Mevaibhav,
1. When I sell my Shares , who buys ??
Like you decided to sell, there is someone who is ready to buy based on their analysis, simple as that
2. When I Buy my Shares , has the potential seller already shorted his shares , or how does the system knows that this one person wants to sell at the price you are buying...
No, they have entered the sell order and is waiting for the match which happens at exchange level. It is time, price based matching by exchange. Once a match happens both sides orders are executed.
3. For every trade , there is a buyer and a seller, Then how come there is always a buyer and a seller ready for a transaction , I mean to say it never happens that when you sell a share , the trade cannot complete as no one is ready to buy it..or vice versa , Does it happen ???
Same as answer to question # 2