It is the action of buying stocks at low price and then selling it later at high price. It is the action of selling stocks at high price and buying them back at low price. In the case of long forward contract, a trader decides to purchase the underlying asset at a definite period of time in future at specified price.
In the case of short forward contract, the trader agrees to sell the underlying asset at a definite period of time in future at specified price.
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CH1 CH2 CH3 CH4 CH5 CH6 CH7 CH8 CH9 CH10 CH11 CH12 CH13 CH14 CH15 CH16 CH17 CH18 CH19 CH20 CH21 CH22 CH23 CH24 CH25 CH26 CH27 CH28 CH29 CH30 CH31 CH32 CH33 CH34 CH35 Problem: What is the difference between a long forward position and a short forward position? Difference between long forward position and short forward position: Difference in long forward position and short forward position In the case of long forward contract, a trader decides to purchase the underlying asset at a definite period of time in future at specified price.
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John C Hull Authors: This is an alternate ISBN. View the primary ISBN for: Options, Futures, and Other Derivatives 9th Edition Textbook Solutions. Solutions by Chapter Chapter 1 Chapter 2 Chapter 3 Chapter 4 Chapter 5 Chapter 6 Chapter 7 Chapter 8 Chapter 9 Chapter 10 Chapter 11 Chapter 12 Chapter 13 Chapter 14 Chapter 15 Chapter 16 Chapter 17 Chapter 18 Chapter 19 Chapter 20 Chapter 21 Chapter 22 Chapter 23 Chapter 24 Chapter 25 Chapter 26 Chapter 27 Chapter 28 Chapter 29 Chapter 30 Chapter 31 Chapter 32 Chapter 33 Chapter 34 Chapter Need an extra hand?
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