The present study focuses on the trading of at-the-money straddles using options on foreign currency futures, namely British Pound, Canadian Dollar, and Japanese Yen. The financial performance and economic significance of a direct profit forecast trading strategy are examined. This strategy uses...

No prior research has (1) studied the relation between gold and stocks for the four severe bear markets since 1960s, (2) used different segments of stock markets simultaneously for analysis and (3) implemented a system of equations to control for exogenous and endogenous variables to investigate...