Mark Seleznov is the Chief Investment Officer of Seleznov Capital Advisors [SCA]. SCA is a SEC registered investment advisory firm that offers advisory services for Mutual Funds, Trusts, 401K plans and Individuals. Mark supervises the asset allocation programs of SCA in a variety of strategic and tactical objective strategies. Mark is also the host of Financial Review heard weekdays at 2pm MT on the Financial News Network, KFNN Radio in Phoenix Arizona. www.kfnn.com
SCA served as the Sub-Advisor for the Equipointe Growth and Income Fund (EQGIX). Mark Seleznov was the Fund portfolio manager and was an organizer of Equipointe fund trust. He has experience in the creation of mutual fund and separately managed account strategies.
A professional trader and money manager for more than 30 years, Mark Seleznov was a market maker on the Philadelphia Stock and Option Exchange as well as a retail registered representative and futures trader. Mark is a recognized expert in trading of equities and has conducted technical analysis seminars in addition to his TV appearances, newspaper and magazine contributions.
I really enjoyed my recent conversation with veteran trader Mark Seleznov about how he manages his trading business. This is the second part of that interview.
Optionetics: Are your trading systems geared more toward long-term strategies or short-term strategies?
Mark: On balance, I would have to say short term. Every day I run position screens to see about changes. The swing trading methods may have an average of 5 days in a trade while the trend following trades could have me in for weeks.
Optionetics: What are some of the key rules or factors that you consider before selecting any potential trading opportunity?
Mark: I have written and back tested many trading systems over the years. Most people are looking for the "Holy Grail" that works with every market all the time. The key for me is the characteristics of the asset that I am trading. You cannot trade crude oil, like you would trade the S&P 500. Even "Gold" and "Gold Stocks" have different characteristics. I would feel better about selling a straddle on the S&P 500 than selling a straddle on the Russell 2000.
Optionetics: What are your favorite markets to trade and track with your analysis tools?
Mark: I trade the major U.S. and foreign markets. I then will also trade sectors to overweight certain sectors. My methods would be characterized as long/short, market timing, and sector rotation in a systematic trading method for each asset.
Optionetics: What is your most memorable trade?
Mark: I shorted gold near the 1980 top creating a very profitable trade. I then bought back long too early, giving back all my gains. Every trader can remember their worst trade and hopefully it teaches them some humility as well as a lesson.
Optionetics: With all the different technical as well as fundamental analysis tools out there how does a new trader avoid information overload or "analysis paralysis"?
Mark: Good question. Find an analysis tool that fits your parameters and personality. Sharpen your skills. There are some good fundamental traders, but I believe technical analysis is better. If you get 100 fundamental traders in a room, you can have many different opinions. If you have a technical indicator like a moving average, the asset is either above or below it and all 100 people should have the same answer.
Optionetics: Thanks, Mark, for speaking about your trading approach with our Optionetics reading audience.
To read previous installments of this interview, please click here.
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