A spot speculator:
A) sells a currency if a forecast indicates that it will depreciate
B) buys a currency if a forecast indicates that it will depreciate
C) short sells a currency if a forecast indicates that it will depreciate
D) either sells or short sells a currency if a forecast indicates that it will depreciate

Question

Quizplus · Accepted Answer

A spot speculator engages in both selling a currency they currently hold if they anticipate its depreciation, or short selling a currency they do not own with the expectation of buying it back later at a lower price. Both actions are based on forecasts of currency depreciation.

A Spot Speculator