Suppose that most traders are trading sf at sf 11302-11306, Financial Management

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Suppose that most traders are trading sf at sf 11302-11306

Suppose that most traders are trading SF/$ at SF 1.1302 - 1.1306. If a trader is quoting a small figure of 03-07, what is implied about the trader's beliefs by his prices?

A. The one trader thinks the dollar will appreciate.

B. The one trader thinks the SF will depreciate.

C. The one trader thinks the dollar will depreciate.

D. Both A and B are correct.

E. Cannot be determined with the information given.

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Financial Management: Suppose that most traders are trading sf at sf 11302-11306

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