Foreign currency forecasts

You are given foreign currency forecasts for a number of currency pairs in Table 1. You are a forex trader and wish to use the forecasts for September 2021 to make a profit.
a)First obtain spot quotes (both bid and ask) from an internet source for at least five currency pairs. Please specify the date and time at which you obtained the quotes. Identify currency pairs that indicate a profit potential. What is the rate of return you can achieve by trading on this currency pair?

b)Obtain forward rates from an internet source for the five chosen currency pairs with a maturity of September 2021. Using these forward rates, actual spot rates and the predicted spot rates in Table 1, find out if you can make a profit. You can assume that the September 2021 forecasts are accurate. To illustrate you may assume that you have AUD 1 million for your trades.

c)Choose three currency pairs with AUD on one side. Obtain the government interest rates for
the three foreign countries. Using this data in addition to those obtained in a) and b) above,
verify if interest rate parity holds. You may draw additional data if required.

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