n NISM Certifications
NSM General NISM
Medium

Mr. A believes USDJPY will move from 87 to 82 (USD weakening). Since USDJPY isn't traded in India, what should Mr. A do?

Practice question from NISM Series I - Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Long JPYINR

  2. B

    Long USDINR

  3. C

    Long USDINR and Short JPYINR

  4. Short USDINR and Long JPYINR

    Correct answer

Why this is the answer

To reflect USD weakening, short USDINR and long JPYINR.

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