To attract a customer wanting to sell USD, you would need to offer a higher price for their USD than the current market rate. The current market rate is 0.7534/38 AUD per USD. This means that for every USD sold, the customer would receive 0.7538 AUD (as this is the higher price).

To attract the customer, you would need to skew the spot rate in their favor. This could mean offering a price of 0.7540 AUD per USD, for example. The exact price would depend on how much you're willing to skew the rate and how much the customer is looking to sell.

Remember, in forex trading, the price is always quoted in terms of the second currency. So in this case, the price you're offering is how much AUD the customer will receive for each USD they sell.

Please note that this is a simplified explanation and actual forex trading involves more factors, including transaction costs and market volatility.

Question

To attract a customer wanting to sell USD, you would need to offer a higher price for their USD than the current market rate. The current market rate is 0.7534/38 AUD per USD. This means that for every USD sold, the customer would receive 0.7538 AUD (as this is the higher price).

To attract the customer, you would need to skew the spot rate in their favor. This could mean offering a price of 0.7540 AUD per USD, for example. The exact price would depend on how much you're willing to skew the rate and how much the customer is looking to sell.

Remember, in forex trading, the price is always quoted in terms of the second currency. So in this case, the price you're offering is how much AUD the customer will receive for each USD they sell.

Please note that this is a simplified explanation and actual forex trading involves more factors, including transaction costs and market volatility.

Knowee AI · Accepted Answer

To attract a customer wanting to sell USD, you would need to offer a higher price for their USD than the current market rate. The current market rate is 0.7534/38 AUD per USD. This means that for every USD sold, the customer would receive 0.7538 AUD (as this is the higher price).

To attract the customer, you would need to skew the spot rate in their favor. This could mean offering a price of 0.7540 AUD per USD, for example. The exact price would depend on how much you're willing to skew the rate and how much the customer is looking to sell.

Remember, in forex trading, the price is always quoted in terms of the second currency. So in this case, the price you're offering is how much AUD the customer will receive for each USD they sell.

Please note that this is a simplified explanation and actual forex trading involves more factors, including transaction costs and market volatility.

By skewing the spot rate for AUD/USD, what price is needed to attract a customer wanting to sell USD if it is currently trading at 0.7534/38? (Assume infinite liquidity)

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