RF contract and Swiss Bank intervention

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MarkS
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RF contract and Swiss Bank intervention

Post by MarkS »

Just want to make sure I'm right on this, as I've not traded crosses extensively before, and the CME contract specs aren't as clear as one would think...

RF appears to be defined as EUR/CHF. So am I right to think that if the Swiss Bank allows the CHF to float freely, then the denominator will go up (if the CHF gets stronger), and hence RF will fall? Want to make sure that I'm not thinking about this the wrong way before I put on a discretionary trade for some friends.... :shock: Thanks!
sluggo
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Post by sluggo »

Sometimes I do a Test Trade just to be sure. viewtopic.php?p=20189&highlight=insurance#20189

You could check the downloadable spreadsheet from CMEgroup (see arrow) for further confirmation. Notice that some quote vendors use different symbols for OpenOutcry, Globex, and Clearport.
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MarkS
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Post by MarkS »

Thank you for both links. I appreciate your idea of a test trade in new markets.
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