The USD/GBP exchange rate is $1.575/ £ . An investor buys a knock-out USD call/GBP put with a strike of $1.575/ £ and a barrier of $1.515/ £ . The implied view of the investor is
A) GBP is going to appreciate against the dollar by at least $0.06/ £ .
B) GBP is going to appreciate against the dollar but by at most $0.06/ £ .
C) GBP is going to depreciate against the dollar by at least $0.06/ £ .
D) GBP is going to depreciate against the dollar but by at most $0.06/ £ .
Correct Answer:
Verified
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