Question
A trader takes a view that March KLSE CI futures which are currently trading at 1158.60 are about to enter a downtrend. a. Should the
A trader takes a view that March KLSE CI futures which are currently trading at 1158.60 are about to enter a downtrend.
a. Should the trader go long or short futures. (3 marks)
b. Assuming the trader maintains their original position until expiry and the cash settlement price is 1125.40, what will be the profit/loss?.
The contract size is RM50/contract. (4 marks)
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
