My name is Maurice. I have $8,000 in FXCM (Foreign Exchange Market). I am considering converting dollar to Euro now. The rate I apply now (first exchange rate conversion) is 0.88 Euro/$. In the evening, I bet the rate will be favorable to me. Let's assume there are no service fees about this process. If I strongly believe in my speculation, and I want to make at least $600 profit from this process, what should be the exchange rate for the 2nd conversion to meet my profit target

New rate must be less than or equal to 0.82 euro per dollar

Explanation:

Less than or equal to 0.82 Euro/$

Reason: Current rate = 0.88 Euro per dollar

This gives Maurice = $8000 x 0.88 = 7040 euros

Profit needed = $600

This means upon second conversion, Maurice must get $8000+$600 = $8600

Now, let us suppose morning rate is 0.89 euro per dollar

This gives 7040/0.89 = $8186 (not favorable)

If morning rate is 0.82 euro per dollar

This gives 7040/0.82 = $8585 (close to $8600)

Thus, new rate must be less than or equal to 0.82 euro per dollar