Suppose that A is an individual investor and OL represents other investors. All the investors who...

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Finance

Suppose that A is an individual investor and OLrepresents other investors. All the investors who hold shortpositions are denoted by SH.
Currently, A holds 2,000 contracts long and OL holds4,200 long contracts.
Starting with the current holdings, determine theholdings of A, OL, SH, as well as the volume and the Open Interestafter each of the following transactions and theend result:
Day 0. Current holdings.
Day 1. A shorts 500 contracts and OL longs 500contracts
Day 2. A longs 700 contracts and OL shorts 700contracts
Day 3. A longs 200 contracts and SH shorts 200contracts
Day 4. A shorts 800 contracts and SH longs 800contracts

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3.9 Ratings (729 Votes)

Opening figures on Day 0 Total long positions A 2000 OL 4200 6200 total long contracts should equal total Short contracts therefore SH 6200 Day Transaction Open interest Volume As Holding OLs Holding See Answer

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