After spending six years in the stock room (first on the Pacific Stock Exchange - Pacific Coast Stock Exchange, and then at the Philadelphia Stock Exchange - Philadelphia Stock Exchange), Linda Bradford-Reshki (Linda Bradford Raschke) decided to make a sharp turn, and in 1987 moved to the OTC trade. A few years engaged in trading their own funds, it is the beginning of 1993, took over management of funds. Now Reshki with his partner, Rick (Rick) manages funds totaling $ 25 million.
Reshki considers himself a purely technical trader. Her office is not even a news channel. At the same time, she believes that "the responsibility of the trader is knowledge of the relevant information. This may be a basic situation as a lack or seasonal trends, or anything else like that. But what makes me pull the trigger and take a stand, is a purely technical reasons.
Although Reshki engaged in trading for almost 15 years, it continues to deal with companies focused on the same technical pattern. "I believe that markets are the same as they were the last hundred years. They are identical in the sense that the trend is impulsive vibration, and then there are waste ... there will always be ups and consolidation patterns, - she says. - My way of making decisions and laws did not change. Reshki studying about 20 different markets, but restricts its trading five or six at one time: "If there is more than five or six possibilities, it often manifests itself negligence. Reshki seeking opportunities in trending markets, and in those where prices are moving horizontally (sideways). "In terms of trending markets are searched when aptrendovaya transaction moves from low to high. The best time to buy is reached, if not at the opening, during the first hour "- she said.
Compromise that has to go to reach the highest profitability in the trend of the market situation, is that the "point of risk will move on, but momentum is working in your favor, and a greater chance of success. In markets with horizontal movement has to take a closer look out for false breakouts (fake-outs) and the probability of a double loss on the sale and purchase (whipsaws) ». Reshki adds that in markets with horizontal motion, you can use tighter stops.
Nevertheless, Reshki believes that "you can always bargain in any market - you just have a clear approach." It is trading in several different vremennh part in determining the duration of the transaction focuses on a specific timetable. "If the pattern is visible on the daily charts, it can take any length of time - from two to six days - leads her example. - But with longer time frames, such as weekly or monthly charts, there are greater risks and greater rewards ". While some traders are tailored to specific relationships between risk and reward, even before the transaction (usually the ratio is one to three), Reshki do not like to limit themselves only to a triple measure of compensation: "I do not believe the risk to reward ratio is one to three, because I never know what you will present market. I'm starting a deal, and suddenly the market starts to gain momentum. Then, I'll stay on the market until the last. I'm not going to go out of the deal only because reached its threshold. Regarding the withdrawal from unprofitable trades Reshki said: "The trader is responsible for conducting the transaction. If I'm wrong, I know about it. The market will tell you about it.
As a guideline for beginners Reshki observes: "If someone starts to engage in trading, it is best to do it in short vremennh framework to better control their risk." Even on its trading Reshki said: "If I go for a period of unfavorable, then draw in their time frame and raise capital." As OTC trader, "not to worry about the location of the transaction. Anyway, for the entry and exit positions have to pay. " Now that she runs a great asset and has a larger volume of transactions, for her problem is the discrepancy between the estimated and actual operating costs (slippage). "Liquidity can be a problem. Exit from bad deals - that's where you can podzaletet "- she says. For short-term deals with "coffee, I will not put a full position, because if I'm wrong, I will manage in the four points out of it."
When asked about how she assesses their professional development, Reshki replied: "If you select all, now I'm less inclined to take risks than before, and it's because my trading has become larger in volume. When you're young, you do not yet thirty, then on your account will be much more volatility. Now I carefully watch over him. In the process of becoming a trader learn more care of yourself. Many mistakes are admitted to markets, due to the reactions and emotions. When you lose in this game, you have to punish myself.
"A difficult moment for many is that there is so much choice - time frames, different markets, to conclude a deal on a trend or kontrtrendu - all this is impossible to reach. We must sit down and say to myself: I will deal with only one type of trading. Too many people initially try to cover everything. "
According Reshki, success in trading requires a lot of focus: "You may be overwhelmed by the amount of information. My office is not even news channel. In the external world so much noise - need to learn how to filter this noise. One of the main components of success in trading Reshki believes commitment: "You have to spend time on the necessary homework or preparation. Do not let your forced to leave the game. "
In conclusion, she said: "You must be a very distant prospect. In the stock room for many months spent on tedious hard work, and then you will have several different months. You just have to have patience and believe that all you have sown the seeds will give seedlings.
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