Make sure that all tape is removed from the cable. Often times cables are taped to the floor and if not removed, the tape will apply added tension to the cable wall, which could lead to kinks and coils. At the very least, tape is an added nuisance.
Take one end of the cable in you left hand with the connector, or plug, facing you. This is called the slack end.
Grab about a foot farther on the cable with your right hand. Make your first loop moving your hand clockwise, creating a loop of cable about a foot in diameter.
Rotate your right wrist clockwise at the same rate as you are looping the cable. This is called the over-under technique as your wrist starts in the over position with the back of your hand facing up, and ends in the under position with your palm facing up. By rotating both the cable and your wrist, you are keeping the alignment of the chord true rather then creating potential coils with each loop.
Continue to wrap the remainder of the cable following the same over-under technique as your first loop. When finished, your cable will retain its position rather than twisting back out of shape.