3-)

When the cross rate for currencies offered by two banks differs from the exchange rate offered by a third bank, a triangular arbitrage opportunity exists.

Select one:

True

False

4-)

A country's overall level of interest rates should have an impact on the financial account of the BOP. Relatively low real interest rates should normally stimulate an outflow of capital seeking higher interest rates in other country currencies.

Select one:

True

False

5-)

The longer the time horizon of the technical analyst the more accurate the prediction of foreign exchange rates is likely to be.

Select one:

True

False