I find the intuition relatively simple for the Forward currency equation

(1+DomesticIntRate***)*** = **SPOT** foreignperdomestic (1 + ForeignIntRate) ( 1/ F **ORWORD** foriegnperdomestic)

Under Libor the Interest rates are multiplied by Actual/360 … Okay got it.

I can manipulate the equation so that

**FORWARD** foriegndomestic = **SPOT** foreigndomestic * ( 1 + ForeignIntRate) / (1+ DomesticIntRate)

How do you manipulate the equation to be the forward - Spot differential … ??

i.e. to this ------>

**Forward** foreignDomestic - **SPOT** fforeignDmomestic = **SPOT** foreignDomestic * (i **foreign-** i **domest** )* (1/1+i **domest** )

I understand that this is an algebra question… I could just memorize each equation but I prefer to remember one!

so if anyone can show me the steps I would greatly appreciate it!

~Josh