So if you want to make any discussion, I welcome you to go to the ONG Connect so that you can discuss it later on the website. Yeah, and I appreciate it. This session, our session will end here. And yeah, the next session will begin in 10 minutes later. Thank you very much for joining us. Thank you. Bye bye. Bye bye. Thank you very much. Thank you for making your voice. Okay. We'll begin at the right time. Okay. Okay, welcome back. Our session. And the next session will be sent by C rule. Her title is a survey on the open access test book for university teachers teaching and the university promotion in Taiwan.  Okay. It's there right. Yeah. Okay. Okay. Good morning. Good morning, everyone. Today, my name is singing. Today I'd like to talk to you about the survey. This is just a single survey I did at the beginning of this year's. The topic is a survey on OAT for university teachers teaching and universities promotion in Taiwan. We are familiar with OAT or we said OER. OAT is a hot topic in universities nowadays. But in Taiwan, how do teachers and OAT development thought about OAT? Do they need OAT to use or how do the teachers use OAT? How do all development agencies promote OAT service? Today, I divide my survey into three things. Namely, why we need OAT in Taiwan's university is OAT a necessary topic for us. And for teachers, it's a new challenge for teachers to use OAT as textbook in class. What they need to prepare and how they use OAT. And for the OAT development agency, how to support teachers to familiar with OAT? First, why we need OAT? We all understand that most countries develop OAT because of the high cost of textbooks. However, in Taiwan, college students generally like to use second-hand textbooks. The publishers or the distributors in Taiwan need to lower the price to attract students to buy textbooks. Therefore, the textbooks in Taiwan, whether we say in Chinese or in English, the influence is relatively small compared to other countries. But why we still need to, why we still OAT? Taiwan's university have also begun to develop digital teaching in recent years. With the addition of digital natives, university teachers need to change the traditional habit of using printed textbook to teach. The needs of digital teaching such as e-learning or MOOCs are also valued. Teachers try to improve students with more convenience and diverse course content by e-learning or within MOOCs or other digital methods. However, textbooks is the part that is lacking in Taiwan's current search. Now, with the feature of open access, OAT allows students and teachers to use more textbooks without extra money. Make it more convenient to use course and broadending innovative horizon. It doesn't like the traditional printed textbook just writing what we know and just the detailed things. Point of view, the development of OAT is necessary for the current Taiwan university teaching environment. And next, we will understand the university teachers and the OAT development industry organization in the university surveyed from this research to distribute to understand the feature development strategy on OAT in Taiwan. For teachers, it's a new challenge for them to use OAT. When university teachers use OAT, they must first face that the adaption to new teaching methods. We know most of teachers are still accustomed to use traditional printed textbook to teach in physical classroom. Therefore, when teachers are willing to try OAT teaching methods, they must adapt to the use of digital textbooks. And most teachers say that in the content part, it is necessary to re-select the content that suit the course as students' learning habits, so that the learning effect of the students can be maintained even the teaching method is changed. Teacher interviews, sorry, teacher interviews methods that the biggest cause of using OAT lies in the course of time. OAT does not require extra money to buy it, but a large amount of OAT makes teachers spend more time to filter content. So it is the biggest challenge for teachers. At the same time, teachers should evaluate whether changes in teaching methods will affect students' learning effect. Even though we know digital nativist is highly adaptable to digital resource, different teachers use OAT in different ways. And considering that the difference in subject may also affect different students have different study habits. Whether to use OAT completely or to comply OAT with the content of traditional printed textbooks, the teacher needs to continue to work with students in order to fully utilize the benefits of OAT. How will teachers use OAT? In order to get used to OAT, most teachers will first focus on using OAT as a supplementary material, like in the past they don't have any experience to use digital methods to teach and use the multimedia resource from OAT, just like we said pictures or video or music, just what we can take from the traditional printed textbook. That is to increase the diversity of teaching materials in the course, also enhance students' interest in learning. And we say that in the university environment in Taiwan, students mostly passively accept the content of the course with the normal content provided by OAT. Students can have more think directions, increase opportunities for teachers and students to discuss different topics, and make students more able to observe the contents of the course. This page lists the interview response from the survey. Compared with the previous content, we can see the teacher's experience and expectations for the use of OAT, just like on the topic of a depth of the new teaching methods. Teachers say that they must digest the content first and choose suitable content for a textbook to teach, just like even though they want to use digital methods to teach, but they need to check the content what they want first. It just costs a lot of time for them now. How to use? Most people say that the audiovisual method is the best thing they found in OAT. They thought that is a very important part for using OAT because they are not a peer in traditional textbooks. One teacher said, OAT can let the students think through discussion which makes students feel more innovative in class, because just like we saw some video and students explore, they don't like read books, they like to watch the video and they were more innovative in class. Let's find out how the OAT development agency in Taiwan's university thinks about OAT. First of all, we need to understand OAT development agency in Taiwan's university. In Taiwan's university, the OAT development agency is more able to replicate with the center of teaching and learning development in university. This development is just help teachers to learn more teaching methods or let the teachers to know what they want just for teach, just like that. In other countries, most university libraries will help teachers obtain the required OAT, but in Taiwan university libraries just more focus on subscription resource. We don't have just an OAT journey or OAT book, which is quite difficult. And OAT development agency of most universities have only a few full time stops, so they will not be able to have a comprehensive promotion strategy when developing OAT. At the same time, Taiwan still focus on the development of e-learning. The effects on digital teaching methods is still not high. It may make it difficult to promote OAT. Here's the consideration of OAT development by the OAT development agency of 15 universities in the survey. What we can see here is cost consideration and development priorities. The most important thing about cost consideration is the labor cost, which is consistent with the human shortage problem methods earlier. And it is measured in the link of development priorities. OAT development agency will consider a complete concept of international authorities. And even though teachers need to take a part in activities, it's also they want to develop it. And in order to more easily obtain the manpower and found from the development tool, OAT. The OAT development agency's viewpoints for OAT is as follows. First, we say although they are agree with importance of OAT for university teaching, but still no completed strategy planning because the human shortage problem or they don't have enough funds to do this. Although they just have more work to do. They don't have time to prepare a complete strategy planning for developing OAT. And for the most teachers, they don't, we know they just not love OAT because they don't know OAT is what, just they don't know OAT. This will affect the effectiveness of OAT promotion. But for OAT development agency, they still hope to use the features of OAT to reduce the cost of test books and increase the diversity of teaching materials. Finally, I summarize the options of university teachers and OAT development agency under development of OAT in the survey and propose the future development of OAT in Taiwan. First, we should to improve the presentation rate of OAT. Just like what I say earlier is teachers just not, they just are not unlike OAT, they don't know what is OAT. And then the features of OAT attract more teachers to use. And second one, we should to establish the platform for OAT resource and OAT use feedback in order to reduce the time for teachers to comply OAT. Teachers can quickly confirm whether the content of OAT met the needs of the curse. And I think the most important thing is to ensure the sustainability of OAT development strategy. OAT development agency can address its own promotion strategy based on the development status of other agency and share experience with each other so that OAT can slowly support the use of teachers in future. So thank you. And this is my email. If you have any question, you can ask me from here. Thank you. Okay. Thank you. From the audience, they are asking what kind of textbook or repository that we are using here in Taiwan. Hey, thank you. Do you have a reference? Repository? What test books, say what test books or your report, teacher and professors, they just, just they only professor just go to the OAT online to get what they want. Now in Taiwan's university, they don't have a corner to just to give teachers about OAT's information. It's what I, I think because OAT is just begun to develop in Taiwan now just we don't have a big site to compare with it. I can, I can address a little bit more on that because Open Textbook is a very new idea in Taiwan. We introduced to university very late actually. Most of the Open Textbook site is from the United States and or Canada. Yeah, we send a database that we share to our professors in universities. So, yeah, we don't have a local Open Textbook repository yet. So, yeah, that's the work. I hope in future they will have just OAT website just for Taiwan's teacher and we can to just local and we have more what we want there in the future. Yeah, I hope so. Yeah, the repository, we do have several OAN repository that sprays different. Yeah, it just begun and we can to give some, some extra, yes, so the experience or some expectations for those teacher, they don't know OAT now. Yeah, well, we begin to know what Open Access journal right now. Yeah, yeah, yeah. Yeah, we are not, we lack of a lot of knowledge to the Open Textbook. Yeah, yeah. Just, just, just a little, yeah. A lot of professors like to write their own work. Oh, yes, yes. However, it can be Open Textbook someday. Oh, yes, yes. We hope that we probably will have those kind of repository someday. Yeah, that's what I surveyed some thing is just like that. And more, a lot of professional is just surprised that textbook can be OA and they're free. And this content is wealth. And just while I say just they don't know OAT is what we need to more to improve the OAT development in future, I think. Okay, thank you very much.


Welcome to Data Doctor's video, Suggestion 509 Missing Gender. Suggestion 509 is caused when a profile has no gender indicated. Either add sources to prove gender, or mark as a false suggestion if it isn't known, such as is often the case with stillborn infants. The gender suggested is based on statistics. No gender is suggested when there are no conclusive statistics for the name. For example, here is the Suggestion report for Abilena Katie, showing 509 Missing Gender. The gender column is blank. In the name column, click on Abilena. The next screen gives a name analysis for every Abilena on WikiTree. As you can see, they are either unisex or unknown. Here is the public view of Abilena's profile. It has a unisex silhouette in the top left, and the data section refers to the child of Noah Katie and Sevillette Claflin. The biography section gives the history of Braintree, Vermont as a source, but no other information about Abilena. We need to find a source that indicates gender. On the bottom right of the profile, click on the Root Search link. Root Search offers several sites to search with. Since Family Search is free, let's start there. Note, you have to be logged into that site first. Family Search shows a death record for Abilena Katie and lists parents Noah and Sevillette. On the far right, click on the icon. The death record tells that Abilena was female. Leave this page open. Return to her profile and click on Edit. In the biography section, add the death information. Place the cursor after that and click the Citation button above. Return to the Family Search record. On the bottom right, click on Document Information. Copy the citation that appears. Return to her profile and paste the citation between the ref tags. Click on Preview to check your work. Make sure that the inline citations are properly showing in the Biography and Sources sections. Move up to the Data section and fill in the death date. Click Certain. Spell out her death state and add USA. Move to the Gender field and click on the green tab. At the box that opens, click on Female. Below the Gender field, explain your changes. This is strongly recommended for all WikiTree users and is required for data doctors. For me, I identify myself as a data doctor. Copy the suggestion number and name and explain what I changed. Save your work. Return to the Suggestions report and on the far right, click on Status. On the Suggestions Status page, make sure your WikiTree ID is showing. Of the five status options, choose one. In this case, correct it. Leave a comment from the comment tense or make one of your own. Click the Update Status button. The last screen shows the status history has recorded your changes and you're done. You are invited to like this video and even leave a comment if you wish. Also, keep up to date with new videos by subscribing to our WikiTree YouTube channel. On behalf of the Data Doctors Project, thank you for watching.


The following is a presentation of TFNN. Trade what you see with Larry Pezzavento toll free at 1-877-927-6648 or internationally at<PHONE_NUMBER>. Now, Larry Pezzavento. I'm Ron Esparzo-Chappan, sitting here for Larry Pezzavento. Larry couldn't make it this morning. I'm sitting in. I usually do the noon time show, which I'll do today again. This is the Tiger Technicians Hour at noon until 1 p.m. eastern time. And also, I'll just mention that I have a newsletter called The Opening Call, that is a newsletter, very comprehensive. And we look at the market every day and what we're looking at in terms of the bigger picture, the smaller picture, and what sectors are working in stocks, et cetera. And of course, we have positions that we monitor every day. The YM, that's the Dow futures are up 18 at 28,301. Just a little off the all-time high. It was made just three days ago. Let me just show you this for a moment. If you're not used to my work, I have just three patterns that I look at. It's a straight line. In this case, it's down and up. It's an arch or a cup formation or a combination. So it's one, two, three. And sometimes you can mix one and two, which will be, in this case, a down move and then an arch. It's called the lowercase h. We call it the dreaded h in the Chapman Way methodology because if you take out the left side low, you can keep going lower. And on the right here is the reverse Y pattern. This is green because if you take out the left side high, you can keep going higher. All right. And the only other thing I'll mention is that we look for alphabetizing each higher peak all the way to an A, B, C, D, E, F, G. But it's the fourth highest peak at D. That other things can happen. You'll see over the period of the show how many dozens and dozens of times you've got Ds that are so important. All right. What we're looking at here is that you've got a leg D in the monthly chart of the Dow. I'll go to the cash index for the moment. I'll explain what I'm looking at. So in the cash index, we've got the Dow monthly chart in a leg D. And that's really unusual because you've got a discrepancy between the S and P in the monthly chart only a leg B, the QQQ, that's the NDX 100 trading vehicle, only a leg C, the New York stock exchange, which finally, after two years, well, a month early, then two years, making a leg C above the January of 2018 high of 13,635. It's right now 13,795, up 20 cents pre-market. This is a leg B. It goes to a leg C. This is a peak B. There's no new eye. But if it extends today, it continues a leg B. 13,825 was the high of yesterday. And the weekly chart is only on a leg B, no matter how hard I've tried. Look, there was a high of 13,611.49, the week of the 29th of November. 11.49. The next week, the week of the 6th of December, the high is 1206, less than a point higher, but that extended the move. Now there's a chance that I might have to go back because all of a sudden you're looking in January and maybe the market's down. The New York Stock Exchange is below 13,300 or 13,000. Then I have to go back and say, well, there was an alternate count here. Should have been a G, or I should have counted these nominal new highs. Now, I try to be as strict as possible. Leg B says that the weekly chart, and now you've also got a pattern that I call Chapman Wave Stalk Leg Formation. The weekly has the leg, long move up. Then it goes in an oval. It's not a rectangle. It has to be an oval pattern. It's called the body. And if it takes out the high of the body, which in this case is 13,255, the week of the 17th of July, it took it out right there. The week of the 1st of November, it started a new leg up. And lo and behold, we've got a pattern here that says, this should be the neck, but there are other things that are going on. It also has a characteristic of like a propeller shaft. You've got the blade here. You've got the fulcrum, the midpoint of the shaft itself. And then you've got to move up. That almost matches the move, initial move. And it looks like a propeller shaft. This particular one is really bullish because what happens is it makes a high level consolidation and then goes even higher. And eventually when this concludes, then there is a very serious decline. So the weekly chart is still very positive. And the very, to get to a D, at the very earliest you could do it, let's just say all of next week, short and week, all of next week the last, is that the last week? No, go on. The last, no, it's not the last week. We still have Monday and Tuesday on the following week. So short and week next week, let's just say it's a down week. And that makes the peak B change. The next week it goes one penny higher than this peak B. And that takes you to leg C. Then you still have to get a down week for leg C and then a leg D up. And that takes you into January. While I'm looking at it, January should see higher highs. But most importantly, 2020 based on the monthly charts should see higher highs. Okay, let's go through these numbers real quickly. I'll go to the YM. The YM is the Dow futures. It's up 19. The E-mini. Let's go to ES. We're going to December. I don't believe it. I mean, 2020. There we go. That is in leg C in the monthly chart. And it's trading at up to 25 and 31.97. The high yesterday was 32.03. Let me double check. 32.0. Yeah, 3.50. Has to go 25 cents above that. And it extends leg B. Can you believe they're about to talk impeachment today? Vote. And the market's not doing... It's neutral. Anyway, and the IWM, which is the Russell 2000, IWM is trading up 32 cents and 165.02. Now, I haven't changed this notation. I believe this really should be a B and we're still going to go to C to be in line with all the others. The pattern, I drew it in the stalk leg. Look, there's the leg. There's the oval. There's the neck. And then the beak comes right back into the oval pattern. Well, here's the oval. And this is in leg C in the weekly chart. It doesn't become that one-to-one to move up to... And I can propel a shaft or not. But here's a rectangle formation. The rectangle formation in the monthly says the height of August at 173.39, August of 2018, plummeted to December low of 125.81. And then it ran up. This rectangle suggests that over the period of 2020, we should see a move in the Russell 2000 ETF towards right on or just above the 173 all-time high. And then it could have quite a bit of a pullback. That's the way it's looking in the monthly chart. So far, this all looks quite good. Let's go to gold. Gold right now is down 3.5 at 1477. It's just stuck. A rectangle formation can last a lot longer than your patients. And there it is. Just stuck between 1490 on the upside resistance and the downside, I'd say 1460. Just right in the middle of it. Weekly chart is still consolidating. Same thing with silver. Here we go, SI. Silver is down 0.09 at 1697. Stuck in this rectangle formation, the dollar is showing strength. I like the dollar. We've liked the dollar since April of 2018, when my subscribers went long. We're still long. We've taken a little bit off, but we're still long. I think the dollar is going to go higher in 2020. It's at 9,744 right now, up 23 cents, consolidating a huge move at a peak D, that fourth highest peak in the daily, the weekly and the monthly. I'll be right back. Basel Chapman sending you for one and only. If you're not currently using the TAS profile scanner, when looking at setting up your trading opportunities, then your arsenal is short, a mighty weapon. The TAS profile scanner is a standalone piece of software that instantly filters over 2,500 global financial markets, such as stocks, ETFs, commodity futures and forex. 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Hear all of the TFNN shows, plus see all of the charts as they happen live and have access to archives of all of those charts. You can test drive The Tiger's Den absolutely free for 30 days and greatly enrich your knowledge of these markets and how to make your money work for you. Details on The Tiger's Den are on the front page of TFNN.com. TFNN has launched our brand new website. You can still visit us at the same TFNN.com URL, but when you do, you'll see a new and improved homepage with a much simpler navigation, whether you're watching Tiger TV live in high definition or just accessing your newsletter subscriptions. We even have new pricing in six months and yearly options. Check out the new TFNN.com now and experience all the upgrades. TFNN.com, educating investors. I cannot enjoy that Mozart right there. All right, so now what we're looking at is the dollars holding well. The EURUSD, the euro dollar currency, just typed it into the den, rather type it here. EURUSD trading down 1.118. And you remember yesterday when I did Larry Show saying, this might be repelled from the 200-period moving average. It must hold if it goes under 1.110. That's just not a good sign. Just sideways action here. The USDJPY. This is the YEN. Made a V-shaped pattern. That's the cup formation. And it's holding OK at 109.50. I wouldn't be surprised if it tries to get to the 109.80 area. But the 109.14, that is really important support to hold. It isn't a leg D. Remember, D in the daily, D in the weekly, D way back in earlier on at 112, and P, D plummeted down to the 104 area. So here's another D. We'll see what happens with the dollar YEN currency pair. Now I wanted to go through these, and then I had a request in the den I'll get to that. So Crude Oil right at this moment is down 42 cents, at 60.46. I've got this as a peak C, if there's no new high today. And then I should make a D, and then it could be pulling back. But this is a continuous contract. Crude Oil, continuous contract. If it starts to trade in the 62.25-ish area at any stage over the next, I'd say next three, four sessions, that's 6307, 200 period, there's orange line in the weekly, so daily on the left, weekly in the middle, monthly on the right. That 200 period exponential moving average becomes a magnet. The mag D is good, the moving average convergence, divergence, the scarcity is just okay at 59. It's not really doing much. And that's the reason why this rectangle formation has been so powerful. Here as well, you've got this oval pattern and you've broken to the upside. So that makes the whole area of the 58, absolutely important, 58 to 57, really important support to hold. That's Crude Oil, continuous contract. Here we go. Hg is the high grade copper, down .02 at 2.79. I drew this rectangle in the other day, so I think it's trapped in this range between 2. These numbers are always so big. 2.8305 and the support is at 2.769. This is a continuous pattern. But this weekly chart, this cup formation says it could be bumping into resistance, strong resistance at 2.88. Then I was asked about what I do, platinum. Yeah, platinum's kind of stuck like gold. It's in a higher range, but it's still stuck. It's trading at 9.30. It's up 40 cents. If it can break to the 953 area, that's going to be really good. But if it pulls back to 9.10, it's just stuck in a range. Palladium had a spectacular move. Pique E in the Chapman wave methodology, but the Magdez good. Circastic is good at 85%, but turning down the blue line in the volume and the relative strength says it's lost already, didn't have enough strength. And it's leg D in the weekly chart. Monthly chart has gone all the way to, it's a spectacular move. Aberdeen physical Palladium. I think that it's got tremendous support between 1.80 and 1.76 in this area right here. Let's see, I want you to do... There we go. So we've got KC, which is coffee. There's that Pique D we were talking about for a few days. Leg D, leg D, leg D all the way up. It's a floating letter and it makes a peak when there's a lower high. So in this case, there's a good chance that today we see a Pique D and I drew the rectangle in that says between about 125 to the 1.30 area, that's key support for coffee, coffee continuous contract. LC is live cattle, makes a Pique D, big sharp move down, but it's got really good support. It's at 1.26.50 down, up 20. Still up, how can that be? Oh, from very open. Okay, but most importantly, the 1.25 to 1.24.50, that's going to be key support for live copper, live hogs. Is it live hogs? Lean hogs. Sorry, lean hogs has made a Pique C in the lower range. It's really struggling and I'd say the other day we were talking about that until I see lean hogs moving into the 73 area and it's at 69.65 right now, down 20 cents. It hasn't yet closed above the 14 period, the black line, the 14 period exponential moving average just except one time, a week of the 26th of July it hit 93.6 and the previous time before that was way back in May where it was 101. So this is a huge move down. It's just saying so far, nothing to see here is trying to establish a base. It might take a little bit longer. What am I leaving out? Oh, I'm leaving out sugar. SB. SB has made a Pique E in the daily chart of the Chapel Wave. Leg B in the weekly and only a leg A in the monthly after making a leg D to the down P, a trough D to the downside. That monthly chart, this is the first time it's testing the 14 period moving average in the monthly. It needs to close somewhere in the 1380. This is sugar. This is called sugar number 11, continuous contract. And then the weekly chart will be improving tremendously and you'll finally see some strength in the monthly. In the meantime, I would say 13 to 1280 is key support. It has to hold that otherwise it's a problem. So far it's looking quite good. Am I leaving out something probably? Okay. So ALB, I believe is what asked in the den. ALB is a symbol. This is Aberdeen Corp. I think they're in the industrial sector. It doesn't matter. The chart is saying that it's finally establishing some kind of a base. It's at 6644. Oh, 68. I'm sorry, 68. 70. The whole 66 to 64 area is absolutely key support. I would probably nibble here. I'd start a position because it's trying to make a cup formation. But absolutely, I'd have a two-point stop just initially. And if we can touch, slow with that stop. If we can touch 6926 to 69, maybe 43 over the next two, three days, I would raise the stop on a core position by one point. And I'd have a trading stop on the other, but I would probably add to it if it's, if it can have just a small dip to the 60, it's a 6877 towards the low 68 area. And then if it turns up, I would have one part as a core position if it can get, it needs to get to the, it really needs to get to the 6930 area. And then you can have one as a core and one as a trading position. And all I'm saying right here is that there's tremendous resistance between 70.5 and 72.5. Boy, you'd love to see 72. If it's just a quick trade, then treat it as a quick trade. But if you're looking into media term, there's a rectangle formation here on A, B, L, A, L, B, Aberdeen Corporation. And that, I'll put it in here, but there's really a smaller one. That smaller one is there. So the smaller one is the one you want to trade off in the weekly chart. And the monthly chart is horrible. It needs a lot of work to improve, but you can only go from the daily to the weekly to the monthly. That's how the steps move. You need to see improvement there. The futures are up 35 in the Dow. S&P futures up four. I'll be right back. Baselchap is sitting in four. 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The Art of Timing the Trade Charts is designed to help you when scouring the markets for stocks just beginning to form the trading patterns that many investors spend days, weeks, or even months searching to find. And right now we're offering licenses available at only $79 a month. We are so confident that you're going to love this new charting software that will even give you a 30-day unconditional money-back guarantee. Don't miss out on this incredible new piece of software. Get your copy of The Art of Timing the Trade Charts today by visiting TFNN.com. This segment is brought to you by Think or Swim. For more information, just click the Think or Swim banner on the front page of TFNN.com. Hi, everyone. We're looking at the future of the E-mini. There's a 10-minute chart. Very nice. Move to the upside considering what's going on up $350. But the day is young. I suspect that by the end of the day we will have a dip to negative. And that will be the big test of what happens by the close. Let's just do a couple of things here. Let's see. I want you to go to I had written down. I'm not sure I can get this LB's lumber. I wanted to have a look at this. No, I don't get that lumber. Pretty. So a couple of things that are going on here that are really important. If you look at the volatility index, this is the VIX. It's at 11.94. So my contention has always been that the VIX in the below 13, especially in the 12s or lower, means that you've got buying support. It doesn't mean that now the market has to go to all-time highs, which has been doing, but it doesn't mean that. It just means you've got tremendous support. There's a favorability leading towards the buyers. If you look at the 15s to the 17s, that's where you start to see some weakness. It used to be things have changed a little bit in the volatility index because it used to be that if you're in the 16s, you can see an inch a day, a pretty good chance of a strong double-digit down, maybe even triple-digit down in the Dow. Maybe the S&P futures can go to, the S&P can go down to maybe minus 13 or so. But there was a room to come back by the end of the day. But once you go to the 19s or high into the 20s, triple-digit down in the Dow and very strong 20s or more down in the futures. So I try to keep it simple. Under 13, there's buying pressure. Over 19, there's tremendous selling pressure. And in the middle, it used to be that going to the 16 level was not a good sign. But now we've seen that more and more, that can hold. And it becomes kind of a middle ground. And that's all there is to it. And look at these big spikes. When you went to 50.30 back in 2018, and look, this is right here. That was the week of, this was in February of 2018. Higher yields, it was the same story, tariffs, the whole thing. 50.30. I always say that that was an aberration. I don't know why it went to 50.30. There wasn't that much bad news. And then you've had other ones. You've gone to yields, China, October of 2018. And then you've got right here. You've got, I should put the dates as well. I don't have to always look at it. December of last year, it only went to 36.20. But believe me, that should have been the one that was at 50.30. I mean, that was the fair. There was a whole bunch of things going on. Huge moves down 20 or 30% in some of the indices. More importantly, it was kind of the same story. Higher yields, China's impeachment, et cetera. So this is going to be an important moment for three reasons. Number one is that, at least I should say for me, in my work, it's suggesting that I could make a case that a little doji candle in some of the key indices yesterday. That could be a turnaround. But the strength that I'm looking at here in the moving averages, in the MACD, the stochastics at 89%, I say over 80% is really good. In the 90% or higher area is really good. And here it is at 89.89. So this is holding very well. So I suspect it's room on the upside on the daily charts for a little longer going maybe into next week. Also seasonally, seasonally there's a lot of buying that comes in at this time. Oh, it's rare that we got the kind of sell-off that we got in last December. January sometimes can see some intense selling. Now, the weekly chart is in Leg C. Now you can get sharp moves to the downside. Look at this move from the week of the 6th of December, 28,109 to 27,325. That's a big move. And then, boom, it closes towards the high and we make higher highs. This is what I call the Chapman Wave inside track repellence zone. You see this green dashed line and below it is the pink dashed line. When prices get into that area in this case it would mean you can go all the way up to the 28,651 area in the Dow. That's where it goes. It doesn't mean you have to go there but I'm saying it goes from where we are to that level and that's the repellence zone. Also there's a rising wedge formation. Usually you have some kind of a dip after this concludes when it gets to some form of an apex. But the back D is strong and the stochastic is at 94%. On balance volume is suggesting not everything is cozy. And the grain line, the relative strength index is at about 60, I'd say 63%. That's good. So the parameters I'm looking at it for this to turn negative for the Dow daily you would have to see 27,900. So that's over 300 points lower. Maybe even four. I'd say to subscribers to my opening call this morning. I think it would take over 450 points just to get the moving averages to turn down sharply. The ones that I'm looking at are key. So far this is a good side. The S and P, SPX. X is the same thing.  That usually means slowing momentum. But not often you've had two days above a long-legged doji like it was four days ago. When it closes above that it says, hey, wait a minute. Don't rule out that this residual strength. Now what is interesting here is that you in a leg D and the S and P cash weekly but not in the EES continuous contract is in leg C. And the new contract of the ESH 20 is in leg C. So this is a divergence SPX. X here we are in leg D. Maybe one will catch up. But this is so unusual to have a B in a key index and then a D. And I've got the same thing happening here. It's the opposite. Here you've got a D in the weekly. You're only in, look, and the Dow, you're only in leg C. So these disparities they actually resolve themselves. Let's go to Max in Fort Lauderdale. Hi, Max, how are you? Good morning, Basil. Happy Hanukkah. And same to you. And a Happy New Year. Thank you. And we were talking about the VIX. Yes. Is there an ETF product that doesn't get any deterioration that it follows the index pretty good? You know, Max, I think there must be at least 400,000, maybe a million people that are asking that exact question. No, they all show, because wouldn't it be great? Let's face it, the VIX at 12, if you could buy this thing and just hold it. I had a conversation with someone a week ago, I was guest speaker here in the Boston area and someone came up and said, what if I just bought the VIX? Surely, I mean, it's been 50, it's been at 100. Surely I could just hold the darn thing. I said, no. And as Dave White in the den is saying, VIX is based on options which fade. So it's hard to imagine anything based on it that can hold its full value, or at least the value that you buy it at. That is so unfortunate because it would be wonderful to have an instrument that shows no deterioration at all in price, that it can move like an index up and down at the exact value that at the end of the day, it doesn't get reconfigured. Hey, you want to hold on because there's something else I wanted to talk about. Okay, we've got Max holding on Fort Lauderdale, we'll be back down to 35 S&Ps of $4.50, thousands of chap is sitting for Larry Preservator. Good questions today, I'll try to get to that as soon as we return. If you're in the CD market and looking for a secure investment, the first mortgage program may work for you. The security for these first mortgages are building lots in the Tax Opportunity Zone in St. Petersburg, Florida. The Tax Act of 2018 set up tax-free zones across the country where you can build and hold for 10 years and pay no tax on the profits, which makes these lots valuable. The investment is anywhere from $30,000 to $75,000. 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Well, the problem is the diminishing of the options premium is such that at a certain point one of the options could shrink to, I mean, by even 90% could even be more. And the other option could be also shrinking even though in the absolute right direction. It's shrinking because of time. There's a time lapse. So, I don't even see it that way now. I'm trying to think, what are those things that they call... I haven't used them for ages and I'm forgetting the name. Where you can buy a tenth of the price or a very small amount of money, you can buy a say on the Dow you could buy Caterpillar and you could buy... What do they call those things? That's an option. It's actually a position but it's a very... It is... The ratio is almost like the GLD is one-tenth the price of gold and the IAU is one-tenth the price of the GLD. Now, someone in the den will tell me what it is. We have a caller George from New York who often uses them and I'm forgetting what it is but there's a unit that you can buy that is in fact 20 or 2021 and you could buy that but they don't have it in the VIX and that's the problem. Wow, I mean so many people would want to do that at LEAP. Thank you, I knew that Piki in the den would know and it's called a LEAP and it's like a position that you're getting in a smaller denomination but then of course you can make up for whatever amount of money you want to put in the denomination. So LEAP if they had a LEAP option... No, sorry LEAP VIX I think that would be one of the most popular vehicles around but they don't. So it's really unfortunate so the only way you can do this is to just say I've got X amount of money I'm going to put aside as insurance and I'm going to buy that and I'm prepared to see... I don't want to but I'm prepared to see it disappear but at some point in the time frame that I choose there should be a wonderful move in my direction and that's about the only way that I can think of it so the other thing is that people have rather complex ways of doing it because you can use options but you do have a limit because you're going to have to protect one of the sides. Let me think and let me find out if I can get more information about this on ways that you could do it as if you were buying one vehicle you're not only having three with one one short and two longs or whatever it is, you just want one vehicle that is just sitting there you can forget about it and then one day there's this terrible news about whatever it is and as bad as the news is everybody's feeling very sad about the news because the market is whatever but you're feeling very good because you're protecting yourself or at least you're getting some profit so that's all I can do it's a great question but I believe me there must be I'd say I'd say a lot of fund managers would love a vehicle like this just to sit there as protection they know they're going to be giving up some of their gains but at least they've got something there so that's all I can tell you I haven't given you much information per se but I've at least elaborated on the frustration that there is no vehicle that says hey I think one of these days we're going to have a 3,000 point move on the doubt to the downside and that's how I'm going to buy this particular vehicle and it should do very well but we don't have it okay thank you Basil thank you very much have a great new year thank you for calling I appreciate that so folks so Dave Weiss got a lot of information and it's time right this moment to read it he's always a front of a wealth of information sorry Dave I'll get to that so there are a couple of questions that I had just where did it go GBTC do I have I have the GBTC I could get the futures I just don't want to go to that right now it's going to kind of confuse a whole bunch of things that I've got up so the GBTC which is the Bitcoin had a spectacular move back in December of 2018 and it went all the way to 38.71 after coming public at somewhere around the $6 area I'd say that's a pretty good move so this is the Bitcoin investment trust and then it has a little bit of a fall it goes from 38.71 it drops about 90% to $3.66 and then it has a bounce a really good bounce everyone thought okay this is it it's all over now we've got to build bull market again and that went to $17.40 that's a big move a 4 fold move but comes all the way back it's trading now at 8 I don't see anything in this vehicle right now the 7.49 is the weekly 200 period exponential moving average I think it's going to get close to that I do see both Bitcoin and the MJ which is the alternate harvest ETF for cannabis sector alternate harvest ETF cannabis sector which went all the way to $46.45-$40 remember that was the same thing back in was that the high that was the high that was back in I think it was the summer if I remember correctly someone saying to me oh the son-in-law just bought it and he's doing so well I said I'll be a little careful it was 45.45 45.40 the week of the 20th of September they'd have a little bit of a fall to the 23's cut in half and now it had a good balance of 38 and now it's trading at 17 here again I do think in 2020 at some point both the MJ and the GBTC will have a pretty good rally but I do think that until they both look that as an IPO MJ has just been around for since 2016 it's maybe cannabis of some form or another has been around since the beginning of time but this has only been on the stock market for about a year and a half two years it's a baby it needs to be mature it needs to have a whole bunch of things there illegally it needs to the companies need to work out how they're going to make money a lot of them are losing money so just in that regard it needs time and the GBTC is an alternate coin I just think it's not its time I think it will be its time at some point not yet the other thing I want to look at here there was a question I had about IBM question here was Basil please look at IBM see if you see an entry price close to the current value have the best of days so Tim I have a problem with IBM I had mentioned this some time ago a long time ago in fact now they've got a couple of kids so it has to be five years ago four years ago I was in and the Catskills there's a hotel there it was a very nice wedding and I met the Catskills and IBM has its headquarters right nearby I can't remember what the mountain or something and I meet this guy and he's been at IBM for 23 years I said wow they've been they've struggled for so long have they got together with the cloud he said it's a work in progress I just think they've missed the bullet in all these areas I'll talk about an entry point as soon as we get back we've got a brief section coming up I'll be right back Basil Chapman I'm the only president the E-Money is up 3 the Dow futures up 29 I'm certain you are or strive to be one of the best of the best at everything you do in life it's the most common trait that we Tigers and Tigers share if you're looking to become the best of the best when it comes to managing your money let me teach you to do what most wealth managers tell you can't be done which is how to time the markets I'm Steve Rhodes author of Mastering Probability and for the last 12 months the newsletter signals which have earned me the ranking as their number one market timer in the nation for the S&P 500 for the last 12, 6 and 3 months timer digest also ranks me as the number one market timer for gold as well the fact is markets can be timed and I'll teach you the exact set of tools that I use that has transformed me into one of the best in what I do sign up for Mastering Probability today by clicking on the newsletter tab on the homepage of TFNN.com and get immediate access to workshops where I take you step by step how to use an extraordinary set of tools as well as provide great market calls to sign up today if you haven't checked out the newsletters page of TFNN.com what are you waiting for all of the TFNN newsletters are informative, up to date, affordable and must have for every trader looking to gain a competitive informational edge in today's markets TFNN newsletters cover every aspect of the markets offer you the very latest in market news plus new subscribers get to test drive our newsletters risk free for 30 days from all aspects of the markets including stocks, bonds metals, commodities and tech there's a newsletter to fit your needs exclusively from TFNN stay informed each day you trade and get the competitive edge that will help you stay ahead of the game visit our newsletters page by going to TFNN.com and click the newsletters button near the top of the page TFNN.com educating investors since 1984 Basil Chapman has been using the Chapman Wave methodology to advise traders of his expert market opinion while originally hand drawing charts from the late 1970s into the 1980s Basil noticed that prices under most circumstances virtually always had a certain number of legs to the upside before declining sharply later Basil found that computer software which included the standard market technical indicators enhanced the degree of accuracy in calling price turns as well as market trend calls thus was born the Chapman Wave sequence using the Chapman Wave methodology along with other indicators Basil Chapman advises his subscribers of his expert market opinion each market day with his opening call newsletter right now you can get a two week free trial to the open call Basil's daily trading newsletter by visiting the front page of TFNN.com cancel at any time during that trial and pay absolutely nothing get your two week free trial to Basil's newsletter the opening call today by visiting TFNN.com this segment is brought to you by thinkorswim for more information just click the thinkorswim banner on the front page of TFNN.com folks we're back all month that's where it is okay thank you not reading the cast skills coming in that area it's near Hudson that hold by the river okay so IBM trading 134.39 rather see it come back to the 133.132 area in an arch formation and then hold and then start another move up because that second move up will say it's starting to make higher highs and higher lows so that's all I can say now there's another way to do it Tim if you do like IBM then why don't you just start a position very to about two three points 134 that's not a big deal in terms of just starting a little start a position right here 134 but unless by today's Wednesday by Friday afternoon or Monday morning if it hasn't tried to tackle the high of the 16th of 135.45 that that's just not good action so it's this is not a favorite chart pattern of mine at all but it will improve a lot if we can start to train in the 135.50s just a point higher that's amazing and it's struggling to do that so that's the way I look at it maybe start a little position here and just be in touch with me if it starts to train in the 135.60s and then we'll see if the weekly chart is starting to improve because that's the casting's flat so just before we wrap up because this is it I'll be doing my show at noon today there we go through stocks we go through a whole bunch of other things and hopefully it'll be interesting but here we were doing most of commodities because that's what Larry does and in the meantime back at the ranch have a wonderful day and I think Larry's back tomorrow so that should be great and the Dow is up 27 let's see what happens by the end of the day you can use the VIX as a gauge because if the VIX which is trading right now at 12.23 down 6 pennies starts to move into the 12.72 area as the market starts to go the Dow goes down 40 points the S&P goes down 5 that means we've got a lousy close probably today and a week Thursday but I do see higher highs coming based on my daily charts so keep in mind that it could just be temporary the market just kind of in a wait and see attitude let's see what happens have a wonderful day hope to see you at noon Eastern time otherwise you'll be back tomorrow for Larry thanks for being


Personal finance practice problem using OneNote. Estimated home price from monthly income. Get ready to get financially fit by practicing personal finance. OneNote. You're not required to but if you have access and would like to follow along we're in the icon on the left hand side. The practice problems tab down in the 7233 estimated home price from monthly income tab. Also take a look at the immersive reader tool. Our practice problems are in the text area too with the same name, same number but with transcripts. Transcripts that can be translated into multiple languages and either listened to or read in them. We've got the information on the left hand side. We're going to do some calculations in the blue area on the right and on down below. When thinking about purchasing a home there's a couple methods that we might use. The most obvious being that we might look at the homes in the area that we would like to purchase looks at the price of those homes consider how much down payment we would need such as a 20% down payment to determine how much financing we would need and then look into the options for that financing creating amortization schedules and budgets from that point forward in a prior presentation we also thought about the idea of first thinking about how much we can save on a year by year basis in order to accumulate up a down payment up to a certain point in time after a certain number of years and then based on that down payment try to determine how much home we can purchase for example and go from that angle we can also go from the angle as we'll talk here from the financial institution to try to determine how much financing the financial institution might be willing to provide us and how they would typically do that is based on our gross income they're going to be most comfortable with our gross income number because they can verify that more easily than our expenses numbers our entire income statement in other words is what we would probably want to use to budget for if we were trying to be accurate based on our personal spending habits and living standards and styles but from the finance perspective from the banks side of things from the financial institution side of things they want to be able to verify everything and have certain heuristics based on what they know to be true and they can verify the income numbers more readily so they might take your income numbers and then try to determine how much you can afford based on that to then have a loan and other costs for the home purchase once you get that number you might then be able to use that to determine how much financing they would be willing to give you and then determine how much down payment you would have to think about how much home you might be able to purchase so this is another angle that we can look at this in just realize however when we're talking about the bank and how much they will lend us that's different than our own personal financing on the personal financing side of things we would want to do our own budgeting on the banks side of things we're trying to do what we can to provide them with what they need in an honest fashion but in such a way that we can get available to us as much financing as we want we'd like to have a credit limit up to the moon but then choose how much financing we're actually going to take based on our budgeted information okay so we got the down payment that's 10% the loan in years is going to be 30 years the rate's going to be 6% we've got the property taxes and insurance per month it's going to be 600 and then we've got our financial information for our personal budgeting assets, the checking account savings emergency fund, IRA, car 1, car 2 total assets, liabilities the car loans, the net assets and then we've got our personal income statement which is our income in terms of gross income and we're going to assume we have two income sources here per year and then the net income so this gets a little bit tricky when you're thinking about our income numbers which we'll dive into in a little bit more depth here we might have multiple income sources and then we have withholdings and taxes that kind of skew that calculation as well then we got the expenses per month utilities, food, gas, credit card loan payment and the entertainment okay let's first think about calculating from a bank's perspective and the heuristics of the bank may change from period to period what you want to do is talk to your financial institutions about the current heuristics what kind of loan calculations they're currently using they're typically going to be using similar methods basing the income on the gross income often times because they can verify that number but remember you also want to do your own budgeting using a full budget I would recommend including your expenses and so on to see how much you can actually afford so notice down here we've got our income numbers that we're going to start from so we're going to assume the bank is going to be asking for our income numbers so if we work at a W-2 job we might give them our tax returns that they would want as well as our W-2 say pay stubs now the issue with those is the fact that there's withholdings on the income so when you look at your pay stub you might say if I was to think about what actually hit my bank account it's going to be net it's going to be lower than what my gross earnings was because my gross earnings were before payroll taxes, social security, Medicare federal income taxes and possibly other withholdings that would be in play so typically the bank is going to want the gross income and that's what we also want to be giving them because our goal with the bank is to get the highest amount of credit that they would be willing to give us that doesn't mean we want to take out a loan for that amount because we're going to do our own research to think about how much money we actually want but I want to be able to take out as much as I can and therefore I want to look as good as possible to the bank and so I would like to give them if they would accept it if that's what they're asking for the big number, the gross number which is typically the case notice if you're getting this from like a QuickBooks or something like that if you do bookkeeping with software and you're doing it on a cash basis then you're probably pulling in the net which would be after the taxes into your books we'll talk more about that when we get to the income statement but remember you're trying to look good to the bank so you want to give them the high number if that's what they're looking for so then we got the gross income is the $72,000 on the second W-2 withholding so that's going to give us our gross yearly income of the $119,000 and then we're going to say that we're going to break this down into the months now notice when you give them your pay stubs and your W-2s you might get paid every week you might get paid bi-weekly semi-monthly so you have to determine the appropriate way to annualize something and then give something a monthly calculation annual when you get down to a monthly calculation based on the W-2 what you typically want to do is annualize it and then divide it by 12 because there's a difference for example between bi-weekly and semi-monthly and the easiest way to kind of figure it is to first annualize it to get the annual number and then divide by 12 typically so now I'm going to take this is my annual number I divide by 12 there's the $917 on a monthly number and then we're going to use a rate as a guideline for the principal this is the interest tax and insurance sometimes known as the P-I-T-I so this is the number you want to basically ask your financial institutions about and just make sure that you're using the latest kind of heuristic so notice they're going to use this number to help determine based on your gross income they're not asking for all your expenses possibly they might still want your tax return it's another information but this basic heuristic we're going to base it off of your gross income so the affordable amount toward home is going to be the $3968 so all they did then simple calculation that we're expecting the bank to do $9917 times .38 and you could do this yourself when you're doing the budgeting that would be the $3768 so that's the affordable amount towards the home there's still an issue though because what I'd like to get is break that number down to just the amount that's going to be the monthly financing because if I know the monthly financing on the loan then I can figure out how much loan they would give us and notice that this number includes other stuff for the principal interest it has as the payments as the taxes and the insurance and it might include other debts as well so in other words they're trying to pack everything into this one number so it's not a perfect system it's a very like heuristic type of system it's just an estimate based on the gross income and the reason they do that in part is because the gross income is something that they can kind of verify and that's the big number so then we're going to say okay we're going to pull out the stuff that isn't the amount of the payment so I'm going to pull out the car loan and I'm going to pull out the property taxes and insurance in other words I'm going to try to get this number down to the point where I'm just talking about the financing on the loan so if that includes the car loan amount and the property taxes and insurance I'm going to try to subtract those out so if I had the 3768 minus the 295 that they're going to say for the loans and then minus the 600 that's going to give us our 2873 so I'm hoping that I'm getting to a number here where the bank is talking about they would be willing to finance us just based on the loan amount and then I can use that to try to figure out the amount of loan that they might be willing to give us so based on that number how much loan might they give us now this one it's a calculation that you might be not as used to in Excel but it's pretty straightforward calculation because most of the time when we calculate the loan the loan item we're trying to figure out how much payment on the loan now I have the payment and I'm trying to back into the loan amount so in other words usually I use the payment calculation here to calculate the payment if you type in the payment calculation you'll note that what we're looking for the unknown now is the present value which is usually the loan amount in the payment calculation so I can use the present value calculation in other words in Excel and we do do this in Excel so you can check it out there to figure out how much loan I could get in other words if the bank is willing to say that I could afford $2,873 just for the loan monthly payments related to the loan then how much loan could I get in order to have a payment be that amount and I'm going to we're going to assume that there's a 6% rate and that it's a 30-year loan so that would be a present value calculation the rate would then be the 6% and then we divide it by 12 the number of periods would be 30 because we're saying 30-year loan times 12 and then the payment is going to be that $2,873 about because there could be rounding involved so that would be a pretty substantial loan of the $479,248 that we're assuming we can get a loan for based on that information so if the affordable so now we're going to take a look at the purchase price if that's the amount that they can get financing for which notice that that's over like a jumbo loan kind of thing so you got to be careful if you get into these higher numbers but just for the purposes of the practice problem let's say that we've got we've got that number and then we've got the percent financed so if I know if I think I can finance for that much and I have to put 10% down then that means I'm financing 90% meaning I'm going to put 10% down instead of our standard 20% we use 10% this time so that means I'm going to finance 90% therefore how much home could I purchase the 479,248 about it's rounded divided by 90 we could possibly purchase a home for 532,498 in other words if I look at it this way if we said the affordable home purchase price was 532,498 and then we said the down payment was 10% 10% of that would be the 53,250 and that would give us the amount of financing so let's do that this is the way we're normally going to see it we've got the 532,498 that's the amount of the home times the 10% instead of 20% down 10% down we're going to say for this purposes there we have the amount of the down payment we would need so the 532,498 minus the 53,250 would give us the 479,248 about so notice we can kind of tie all this out to basically what what we expect that the bank might be able to finance us so if we expect they could finance us that much we might try to back into how much home we can purchase there's a couple of assumptions that are being made here of course we're assuming that we're going to have a 30 year fixed loan we're assuming 10% down which might be different than the normal like 20% down assumption and we're assuming of course the interest rate we're trying to figure out what the interest rate would be on a standard loan if you get into more complex loans those things those factors can vary but based on that information I could go from basically my gross income and try to figure out how much home I might be able to purchase it also of course assumes that I have a down payment that I could come up with a down payment that is required in order to make this happen and again if you go over a high loan amount over a jumbo loan status then of course you got to take into consideration the differences and qualifications for a larger loan but that's the general idea now note that even though you think you might be able to get fined even if the bank was willing to give us financing a 479-248 that doesn't necessarily mean that we want to take that amount out and notice that their calculation up here is really generic this is a really generic heuristic calculation here it might not reflect our personal spending habits at all our personal spending habits might be greater or lesser than that we might be in a higher or lower cost of living area then this kind of average speculative number is using they might be using this number partially for regulatory reasons and partially for banking reasons and it's an average so that's not really what we want to use our goal from the bank side of thing is to get as much financing as we could meaning similar to a credit card if I can get a credit card that finances up to infinity a million dollars or something like that that's great am I going to spend a million dollars on the credit card no but it's nice to know it's there in the case I have some kind of a million dollar debt that comes up or something right and that's the same thing for this thing we would like that but then we're going to do our own kind of budgeting which might look something like this we would actually put together an income statement and you might do this just by hand you might do a similar kind of process or you might use software software is getting better and better kind of like putting together personal income statements like a quick books or something there's free stuff out there that you can do but and and you can do it based on your bank statement but just note on the income side of things that if you're trying to use a cash flow basis and you're trying to pull everything in after it hits the bank this income side of things gets messy because on your personal budget remember that when we when we gave this information to the bank we used we use the gross number the higher number that's what they want but if I'm trying to do this on a cash basis in our bank we might wait till it hits the bank which means everything that got withheld has been reduced so the bank that we actually hits our account is going to be the lower net number you can still do your income statement either way but you got to you got to recognize that when you're doing it so then so then you've got your total income if this was our income line items and then we've got our expenses which would be the same under either method so we've got our utilities our food our gas our credit card payments and that would be this would be if you're on a like a doing like a cash flow kind of system we got the entertainment and there's our total expenses under either system so if I was to subtract this out if I did it on the gross side of things 9917 minus minus the 1390 would be the 8572 on the net side of things 7833 minus the 6 minus the 1390 would be the 6443 but but then we have to take in the difference over here the difference between these numbers I'm assuming is taxes it could be other things you could have benefits in there but 9917 minus the 7833 I'm assuming that's federal income taxes social security and Medicare those are your taxes those are basically expenses so we really should on the income statement have the total you know gross income and then recognize the expense for all the stuff that got withheld which would be taxes and possibly benefits as well so this income statement on the left is actually kind of the more proper income statement but if you did this from just a cash basis using like a quick books that tries to drive everything from from the bank statement you're using a cash basis method this would be more what it might look like and you just got to recognize that your taxes and some withholding some of your benefits are just are scrunched into this number that you never actually paid out of your bank account it never hits your bank account because your your income was withheld from you before it went into the bank account so you just got to you've got to realize that and notice that this number is what you might then base how much you can afford on you might do your own budget from a month by month I would recommend doing that and it might be substantially different then what the bank comes out to using their heuristic up top in terms of how much you know you they can afford and you might and you might say well I can afford more or I can afford less because your living standards might be way different then then the standards living standards of other people that are in a similar situation which their heuristic is kind of based off of so that means that you may be feeling more or less comfortable with more or less financing so the goal is get as much financing as you can try to look as good as possible to the bank and then determine how much financing you can afford the bank is not your financial planner the bank is someone that you're trying to get financing from the bank is not someone to determine how much financing you could get the bank is hopefully there to give you as much financing as you want and you determine how much financing you want to have that's where you'd like to be okay so then we're going to say that we can do our calculation for our loan so now that I know how much loan we can have up top we can then do our amortization schedule and we can start to budget going forward in terms of how much the home would cost in terms of our yearly cost and so on so if the home was the 532 498 down payment 53 250 the loan 479 278 interest 6% 30 year loan the payment is that 2873 that 2873 that we saw up top here and we that's what we started with basically this time and that we built this whole thing around it and we said okay so now I can make my amortization table we can do this online with online tools or we can do it in excel I recommend doing it in excel because within excel we can break down this monthly amortization table into say a yearly amortization table as we've seen in the past so I won't go into it in a lot of detail but if you can break it down into a yearly table now we've got the payments per year which can help us with a cash flow calculation on on that side of things we've got the interest per year you can see the interest changes goes down substantially per year that helps us with our tax calculations and projections if we want to pull it from here the loan decrease that can help us with our budgeting and calculations for the equity equity being the difference between the loan value and the home value having at least two factors we can consider one being that if the home value stays the same and we pay down the loan the principal of the loan going down the value of the home if it stayed the same the gap between the two would be going up because you're paying down the loan and or the loan balance could go up hopefully going up it could go down too because of just increase in the value of the market so that can help us to determine where we will stand in the future the loan balance representing the ending point after like 12 months here's the 473 363 that's going to help us to determine where we stand from a net asset kind of standpoint as well at the end of each of these years which could help us with our planning going forward so from this point we can then use this information to build our budgets our projections going forward to help us determine whether it be a good decision so notice here instead of us starting with the home value and then calculating the down payment to figure the loan amount and then going into our budget we started first with our gross income number and tried to think from the bank's perspective in terms of what's the gross income number and their heuristic based on it to trim it down to what the monthly loan payment would be which again could change from period to period so you want to make sure that you got the proper heuristic and what's included in like this PITI number so that you can get this calculation correct and then we went from there to basically think about how much financing we could need to to then the how much home we can purchase to then thinking about the the actual loan calculation and then we can go into the budgeting from that point again just like we've seen in prior practice problems if you do this properly you can set up your whole excel worksheet from a set of data which you can then change and and that will help you to run multiple projections so we do do this in excel if you want to check it out over there and try to build something out and you can see if these tools would be applicable to you and your personal decisions