Linda Raschke is one of the female freaks in the financial market, which is considered a man's game. But she showed the world, trading is not just for men, and the fact is that women do very well too. Ms. Linda Raschke started her trading career in 1980 and has become one of the most respected traders. She is currently the chairman of two financial companies, LBRGroup and LBR Asset Management.

Linda Raschke created many professional trading systems that are still in use today. Readers must remember the book "Street Smarts" written together with Larry Corners with a series of models such as Three Indians, Wofts Waves, Range Expansion, Turtle Soup ... Linda Raschke is considered an excellent money trader and manager when have not lost money during the past 3 decades.
  1. Buy on the first correction (first pullback) after the price establishes a new high. Sell ​​immediately after the first rally after the price has made a new bottom.
  2. If the market is getting stronger or weaker, it must be shown the next day's momentum (translator: for example, there must be a follow-through day after a strong bull session).
  3. The best reversal sessions should occur in the morning, not the afternoon.
  4. The wider the gaps (Gap) appear, the higher the possibility is that the trend will continue.
  5. A market trading at the top or bottom of the previous day is a good indicator of whether the market is getting stronger or weaker.
  6. The previous day's highs and lows are important pivot points that show where buyers and sellers were in the previous day. So let's see if the market will retest or reverse from these pivot points.
  7. The last trading hours usually tell us the truth about the current trend. "Smart" cash flow usually occurs in the last trading hour. When the market still closed with a strong increase, the uptrend will continue in the next session. When the uptrend ends, it usually reverses in the morning and after that, the closing price will decline.
  8. The large volume at the close indicated that the trend will continue the next morning towards the last half hour of the trading session. In a strong market, observe the possibility that the price will return to the main trend at the last trading hour.
  9. The price frame of the first trading hour usually forms the foundation (translator: support, resistance, price bracket) for the entire trading day of that day.
  10. If the price rises sharply during the first trading hour, it is usually an early signal that the trend will be strong for that day.
  11. There are four fundamentals of price action that have been proven over time. Charles Dow was the first to mention them. These four principles are (1) Trends are more likely to persist than to reverse. (2) Growth momentum goes ahead of price. (3) Trends usually end in a state of a high peak. (4) The market often alternates between the expanded price bracket (Range Expansion) and the narrow price bracket (Range Contraction).
  12. The financial world is created by human behavior. No one knows what will happen in the future. So a successful trader is not someone who predicts what's going to happen but must know how to react to any situation.