Forwards and Credit Risk currently, currency, question, forward, credit

cjs238

This is from 2009 Mock question 9.B... I still get confused on the credit risk with forwards....

Lets say you are long a currency forward, and the spot is currently higher than the forward rate... is this good or bad for you as the long?

Same thing if you were short a forward.... if the spot is higher than the forward is this good or bad?