I will do reciprocal linking as well as 3 way link exchange also. Wil trade links only with relevant sites. Its working for me also am doing other link building factors.
I still do reciprocal link exchange as long as it's relevant to my site and it's not done excessively. Though I still prefer doing three-way link exchange because it's more natural in the eyes of SEs and it's just like providing your main site with one-way links..
i do a bit of reciprocal linking but of course i prefer to concentrate on the one way back links which are much more favorable. i think that in just about all things moderation is a pretty good idea and don't see anything wrong with linking or cross linking, especially if it's a site that i think my clients or customers might enjoy or need or like to read etc....