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2000000 1000000 1000000 Current Forward A 2000000 1.20 1.30 1.40 1.50 Spot at Expiration From the above graph which of the following statements is true
2000000 1000000 1000000 Current Forward A 2000000 1.20 1.30 1.40 1.50 Spot at Expiration From the above graph which of the following statements is true if these are positions taken by speculators? In other words no combinations, no underlying just purchases of Calls A. Blue Line A is a forward or a future position Red Line B, is an ITM option and has a high upfront premium Green Line Line C is an ATM option B. Blue Line A is a forward or a future position Red Line B, is an OTM option and has a high upfront premium Green Line Line C is an ITM option with low premium C. Blue Line A is a forward or a future position Red Line B, is an OTM option and has a low upfront premium Green Line Line C is an ATM option OD. Can not determine such things from a picture
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