Trading Techniques for Financial Futures
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Discuss the trading techniques that can be used with financial futures (currency futures, interest rate futures, and stock index futures) noting how these securities can be used in conjunction with other investment vehicles including the benefits and risks. Describe the model application of such a strategy applied to protect your investment or business activity against downside risk.
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Solution Summary
Trading techniques for financial futures are discussed. A model application of such strategy is applied.
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ANSWERS
First, futures contract, whether currency, interest rate or index, is an agreement in which one party agrees to purchase the underlying from the other party at a future date at ...
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