. Based on market indicators, you are convinced that the price of wheat is going to significantly increase over the next 3 months. How could you use the futures market for this will you take a long position or a short position? Explain why.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter8: Evolutionary Solver: An Alternative Optimization Procedure
Section8.7: Portfolio Optimization
Problem 13P
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2. Based on market indicators, you are convinced that the
price of wheat is going to significantly increase over the
next 3 months. How could you use the futures market for
this will you take a long position or a short position?
Explain why.
Transcribed Image Text:2. Based on market indicators, you are convinced that the price of wheat is going to significantly increase over the next 3 months. How could you use the futures market for this will you take a long position or a short position? Explain why.
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