Interview with trader: Allan Cook

Question: How long do you sell in the market and what software do you use?

Allan: I sell more than 20 years. Many years ago, when I was a big farmer and grow potatoes in the winter months, I traded contracts on agricultural products. Now, since I no longer have a farm, I am a permanent trader in the market S & P. The software I use "Ensign Software" since 1984.

Question: In what markets do you sell?

Alan: I sold every day just in the market S & P. 4 or 5 times a year, I can implement positional trade in the market of commodity contracts. I see the possibility of opening positions on the wheat, soybean, cotton, sugar, oil, orange juice, U.S. bonds, meat, etc.

Question: What time frame do you use?

Allan: I watch 3-minute schedule and daily schedule for the S & P. More I do not see any other graphics.

Question: What kind of trading systems and tools do you use?

Allan: Not what. I know that you would not like to hear this answer. I draw attention to the formation of bars at 3-minute schedule, and developed the intuition or "gut feeling" about how the market will behave next. If yesterday was a great movement down, and my "gut feeling" a couple of days ago prompted me that a bottom has been formed to date, and should be a significant rally in 2000 - 3000 points before closing. I followed the levels of support and resistance, and try to successfully enter the market in the direction of the trend.

Question: How often do you sell?

Allan: I am selling 4 to 10 times a week. I am patient and waiting until the market begins to trend. If the trend is upward, I get up in the direction of the trend, using the stop-order and lower support, or buy at the recoil. When the trend is down, I open short positions, using the stop above resistance, or sell to recovery. But I have always traded in the direction of the trend. I never perenoshu position S & P the next day.

Question: What is the market you're looking for?

Allan: One or two days a week, the market is consistent with my style. I stand on the sidelines during sudden movements, because they can not guarantee the exact performance, and it is difficult to determine if you are in the market or off market. Now, this dynamic market reached a historic peak of their mobility. Markets like these have never existed before, so I do not think there is a system that has experience in working with today's market. Even prior experience can not be regarded as sufficient. I am constantly studying and adapting to the market, as it develops.

Question: Not using any trading systems, or tools that you learn on the charts?

Allan: I study the price levels of consolidation, flags, pennants, breakthroughs, and correction. I'm looking for maximum and minimum, yesterday's closing price and today's opening. I wait until the market trend and try to establish a sign in this direction, using the stop, or rollback to buy and sell on the recovery.

Question: What about risk management?

Allan: When I placed the order to open a position, it has my broker puts it in the exchange hall, I immediately protective stop order. I never disconnect from your broker, has not been a stop-order. Many years ago, when applications were transmitted by telephone and sometimes sudden news is quite able to move the market, then the one who was not ready for it to incur serious losses. For example, I held the long positions on the S & P in the day when the explosion of the space ship "Challenger". I always put a protective stop-order and then I have not experienced any panic, because I am ready for any surprises.

Question: What are your requirements for the broker?

Allan: First of all - it is fast and precise execution of orders. It is more important to me than the size of the fee. Because, in keeping with my style of trading, I often find in the market just over a 10 - 15 minutes. I am not referring to trade commodity contracts, because the opportunities are there only 4 - 5 times a year. But given the variability of S & P, where the opportunities appear several times a day, I need fast execution.

Question: What is the ideal deal for you?

Allan: The best deal - a small movement with a large position in a very predictable formations. This allows you to make a decent profit in a short period of time, given the size of the position. I do not like to worry long. I prefer to quickly enter the market and out of the market. If the market does not do what I expect now, I am out of the deal.

Q: What advice would you give readers?

Allan: not traded positions greater than you are willing to afford. You must first bring to your trading style of work. Too often, traders have a number of successful transactions, and then too the risk and fail. I work, without prejudice, where the market goes. Most importantly, you must do the work yourself. Never rely on the opinion of others, no matter how authoritative they may seem. Does its job independently. Trading in today's markets - an art-based technologies.

based on
www.ensignsoftware.com