The results showed forward position (bought) and balance of payment had a
correlation coefficient R2
that was 0.850 which explained that 85 percent of the variation in the
exchange rate explained by the variability in forward position (bought) and balance of payment. The
regression showed the beta was -0.00005549 and -0.521 that meant the regression coefficient was
negative relationships among forward position, balance of payment and exchange rate (forward position
and balance of payment increase, exchange rate would decrease). The regression equation as follow: