Finance Mythbreaker: Paying off a house in full costs you

Myth: Owning a house saves you money on income tax deductions (True)
         Paying a house in full costs you since you lose an income tax deduction (FALSE)

Assumptions:
I didn’t include a down payment because it’s not going to matter because the interest is only charged on the Outstanding Amount of the Loan every month.

Example:

Outstanding Loan Amount: $300,000 @ 4% on 30yr Fixed
Monthly Payment: $1432 ($432 Principal + $1000 Interest 70% of payment is INTEREST)
Annual Interest Paid: $12,000 due


Annual Household Income: $200,000 @ 28% Marginal Tax Rate = $ 60,568 Income Tax Due
Annual Household Income (After Tax Deduction): $188,000 @ 28% = $ 56,584 to Uncle Sam
Difference between Before and After the House Deduction = $3,984 Savings



Are you willing to pay $12,000 in interest per year to the bank in order to save $3,984 in Tax savings?

 $12,000             $1
-----------   =   ---------       Spend 1$ to save $0.33 cents does not make sense
 $3,984             $0.33

________________________________________________________________________________

I used this equation to calculate your monthly mortgage payment:

                r(1+r)^n
M = P -----------------
              (1+r)^n - 1

M is your monthly payment
P is your principal
r is your monthly interest rate, calculated by dividing your annual interest rate by 12
n is your number of payments (the number of payments you will be paying the loan)

Uncle Sam's Thievery plan this year:

Rate	Taxable Income Bracket	Tax Owed
10%	$0 to $18,650	10% of taxable income
15%	$18,650 to $75,900	$1,865 plus 15% of the excess over $18,650
25%	$75,900 to $153,100	$10,452.50 plus 25% of the excess over $75,900
28%	$153,100 to $233,350	$29,752.50 plus 28% of the excess over $153,100
33%	$233,350 to $416,700	$52,222.50 plus 33% of the excess over $233,350

ETH, Done Trading Cryptos for now... HODL !!!!

* On a side note, when I only got 3% of a 40% move on Nvidia (NVDA) last month due to overtrading and being emotional on a too big of a position size.  The lessons learned from that mess engraved itself into me.  Thankfully, I was able to grow and execute alot better on Ethereum (ETH)*

Not shown is a Consolidating triangle, I sold off some yesterday at around the $390-$400 but decided to hold a majority of it since the last few consolidations have gone up.  I should've realized that this was much much more extended chart than the last 3 triangles.  I went to sleep and I woke up with it at 350. I sold off some more and wanted to get out when it retouches the 12 EMA.  

The price action breaking down below the 1hr Time frame's moving averages are a very, VERY BEARISH SIGN.  I ignored that sign and held through as it broke down.  It ended up retouching the 12 EMA again but I didn't sell into the bounce like an idiot  =(.  It started hovering around 350 again and I started to get emotionally paranoid over the $30 range I missed on selling into.

I had convinced myself to risk $50 worth of range on the rest since it might bounce off a bigger triangle that had Support at ~340.  I went ahead and set my stop loss at 326 just after a big bid since I know i'm already emotionally compromised and wanted to take the execution off the trade out of my hands.

I went to the coffee place I study at and when I got there I saw that my Stop got hit =/.  It blew through the moving average on the 6h Timeframe (A very bearish sign)  It's whatever, I've calculated it that I've made my initial investment back + profit already.  What's bothering me atm is that I might've just sold bottom LOL.. but I still have ETH i'm HODL.

If the price action breaks below the 12 EMA on the Daily Chart.. ETH is done for for the next few months until we get a good catalyst going.

Shown Below is a rundown on what happened.  *Someone else's Technical Analysis.  I had a gut feeling for this but I wasn't using my usual indicators to measure whether the momentum has peaked. It feels like it peaked but HODL fucked me over..

I played the bounce on the first pennant as shown by my ETH Scalp post. I also saw where the next pivot point was going to be.  Unfortunately, instead of it breaking out.  It finally brokedown, I had a deep gut feeling it was going to break down from the heavy ask.  Sellers outnumbered the buyers by almost 4-1 at some points.  The 0.43ETH gain I got from the first pennant is overshadowed by a $1500 unrealized gain loss. Sigh.. It's similar to last week's Nvidia play again but with better responses on my part.  I'mma keep watching how this new pennant plays out but most likely not trade it.

HUGE LESSON:  It's much, much easier emotionally to sell on the way up than it is to sell on the way down or breakeven.

UPDATE: 15 June 2017 0020
I just started using Kraken's charts... FML !!!! If I actually used real charts instead of this HODL bullshit and winging it =/ .. I could've locked in profits much much sooner.  I had the gut feeling the momentum was dead at $380 but relied too much on my charts in ThinkOrSwim for confirmation.  Next time a pattern comes up in ETH, I'm sooooo going to take advantage of this and Actually trade it fully instead of this HODL bullshit.. $1500 lesson in unknowingly/inadvertently trying to catch a falling knife.  In a way, the stop loss might've been the best decision at that time since I had "Paralysis in Analysis".  Without charts I was doing a guessing game (Still pretty good for no indicators haha).

Re-buy at 250-280ish once we find support.

It's crazy that this is exactly how I spot tops in stocks and it works in finding tops in cryptos.  Sucks I can't short ETH.  What's really interesting is that since this is hype related-- A huge wall of sellers is resistance.. but A huge wall of buyers isn't neccessarily support as shown in the Book Depth.  Fear is HUUUUGE in Cryptocurrencies..

Anyways, unless a new catalyst comes along.. 
This is a falling knife...

UPDATE 15 June 2017 12:00 PM

Woke up and checked my phone.  Zach (A friend that I talk ETH with) had msg'd me about ETH dipping.  I checked it and saw that it had broken through 300 and tore down stop losses and bounced off 250-280 and is now back up to 340.. Fuck me right? I call out a plan but I didn't trade it.

On the other hand, this would've been a nice buy through the panic selling at $300 stop losses at $250 support.  Awkward, as much as I know that this uptrend is only temporary, FOMO still hit me and wanted to buy at at 320.. but the most recent large momentum is a downtrend.  I can see this dropping back down to $250 or worse if we don't find support.

Trying to catch this bottom is very risky, I'd buy on a dip if it breaks out past $350.

or at a higher low once it finds a support level it consolidates at.  But at the moment, I can see it being anywhere from $280 - $350.  I deposited some cash back into Coinbase taking roughly 6 days.  I can tell I'm emotionally compromised from missing out on that dip.  This 6day respite will help me calm down and see the chart for what it really is.

Scalping ETH

ETH

I woke up to ETH hitting a high of 420 (lol 4 20.. get it ?) and saw a massive wall at the ask.  I sold 3.17 ETH that I playscalp with but knowing with that ridiculous 160$ move over the weekend, it can correct on a massive scale with stoplosses being triggered along the way down.

I tried transferring 10ETH from my wallet to gdax but the network was bogged down and I couldn't get any transferred.  The plan was to sell at 400 and have buy orders at $350/$360.  I eventually gave up and went to sleep.  Woke up a few hrs later and saw it dipped all the way down to $320 which is insane.

So normally, I won't trade the bounce back down since it'll be trading in a range.  It's now trading back 400 but with lower highs and a huge wall at the ask and STILL extended on the 6h /1day timeframes. It's still a huge range with a potential for a scalp.  I didn't get filled at 399 with the momentum stopping at 398.  So i lowered half down just below 398 for the next push up and the rest just below 400.  The big downside on this is that the momentum has jst been massive and I risk not getting filled on the dip.

The plan:
Sell order 1/2 size just below 400
Sell order 1/2 size just below 398

Buy order 1/2 size just above 370
Buy order 1/2 size just above 380

The reasoning behind this is there's over 12,000+ ether of supply from $395> $401 and only 5,000 ether of demand from $395 down to $370.  There's a chance it can go below 370 but I've been conservative on my buys since I'd rather get filled at higher price than not get filled at all.  I'll update how this trade goes if the sell orders get executed.

Update: 8:26 PM CST

So the book depth only shows orders that are listed, it doesn't show people on the sidelines who are still yet to put their orders in.  I raised my buy prices just because of the increased bid orders that are newly posted.

Update: 8:32 PM CST

Some huge buyer/bid just showed up at 399 with an additional 1.5k worth of ETH.  He disappeared a few minutes later lol.. New bid orders are coming up, i might have to raise my bids again just to ensure a fill... =.=

Update: 8:55 PM CST

I have nothing against TA chartists, I use TA myself in stocks.  But all these new traders who praise TA as god doesn't realize nothing is 100% in the market.  Yes the chart is showing a support level at $394. but it doesn't show the depth of how many orders are currently at that level. There are still 7k ETH on the ask to $400 and only 3.5k ETH on the bid til $380.  Once this break $395, they'll cry foul on facebook group..

Update: 10:18 PM CST

So this is why I don't like playing more than the first bounce since it gets choppy and annoying to trade.  I put a sell order on what I just bought just to play around even more since there's a new set of sellers that popped up.

Update: 11:21 PM CST

So, I got a little greedy and moved my $380 bid down to $370 and missed the bottom which was at $375.. It's whatever right now, it's consolidating in a range that's going to get narrower and narrower and I'm not going to babysit this anymore.  I'm raising the buy order back to $380 and will get back to this in the morning.

Update: 01:21 AM CST

Drove home from the coffee shop I was at.  Been messing around trying to figure out how to mine with 3 GPUs on my desktop when I noticed I got filled.  Here's the end result of today's trade which spanned about 5hrs ish.

We started out with 10 ETH.

We finished with 10.42 ETH.  

At the current price of $385.  We made $161 in unrealized gains in ~5hrs.  I didn't catch the bottom of the move, but the thing is.. You don't need to perfect, ya just need to get the meat of the move. 

This turned out alot better than I thought, Next time I see a selling pressure the same size again I saw when I first woke up.  I might go with a bigger size. Gotta love the no commission fees on GDAX.

NVDA vs Andrew Left (Citron Research), AMD, MU $1200 Unrealized Gains Lost

NVDA

1) Bought 50 after last weeks weak hands fiasco.
2) Added 25
3) Added 25
4) Got aggressive and added another 25.  Typically, NVDA runs last at least two days, so instead of profit taking like I usually do.  I added small.  I was up 1300$ when I last looked at my mobile phone before getting busy with work.

** I was at work in the middle of a briefing and preparations for our air show.  Within the span of the 2 hours I was busy.  Citron Research's Andrew Left came out with a report stating that NVDA was being overvalued by the market.  As always with Citron's short calls, the market panic'd and down NVDA went.  When I came home, I saw 1000$ gone and I closed the position.

At the time, I felt so stupid for not taking profits and really tore into myself.  But stepping away and looking back.  I could not have predicted a report out by Citron so the add wasn't a bad thing.  The thing I really needed to be learned was the minimizing risk during the time I wasn't babysitting the trade.  I knew I was going to be busy, I SHOULD'VE downsized and taken at least half the profits.  If this was a daytrade, I would've been easily out of the whole trade but since this was a swing trade, I didn't have a set plan to include me being away from the market.

From last week's weak hands, I turned into an aggressive bull.  It's crazy how one imbalance can turn into another imbalance on the opposite side of the spectrum. Sigh, anyways.. 1000$ mistake to learn from... **

Shorted NVDA at 155 with a stop at 156 which was a good short since it's at 150 now.  But I felt that I was too emotionally sickened by the large unrealized gains loss that I forced myself out to exit early.  It could've gone either way but it's better to be safe than sorry.

** 10hrs late-- i noticed one other thing, normally in the past, i do use hard stops to lock in gains... i'm unsure whether it was because i was euphoric or just the fact i was using the dastrader mobile that the idea/thought didn't kick in.  Trailling Hard stops have ALWAYS saved me from losing so much unrealized gains in the past.. not sure why it didn't come to my mind today.. **

Trump being Trump

1st Graph is the S&P 500
2nd Graph is MU
3rd Graph is AMD
4th Graph is NVDA

What's better to ruin someone's day than just ruining one stock?  Well, my AMD position always like to mimic NVDA so there goes that.  MU was holding on while being tugged down by NVDA.  Unfortunately, bad news about trump crashes the market yet again and that's what all was needed for MU to finally start crashing down.  Sigh, exited out of all my swing positions from the stupidity of the market.

NVDA, FOMO Losing Gains

NVDA

You TELL me why you keep doing this to yourself..

1) Justified skipping pre-trading checklist to meddle with the swing trades because you weren't going to daytrade.

2) Shit from work and sleepy caused you to get out of the trade early.  $5/share move FML!!!!!  If your LONG TERM TRADES ARE DOING WELL.  STAY WITH THE PLAN AND STOP MEDDLING WITH IT.

How to Mine Bitcoin/Ethereum for Side Cash/Profits !!

So I was in a facebook group reading what this retired old man that mines/trades eth for a living in the philippines *Bow* >_> it's my day off so I finally stepped into this dark world of "mining"checked out how to do "mining"....

***** Current Profit Ratios ***** MUST CLICK/VIEW
http://buriedone.com/rigprofits.html

[VIDEO] Intro to mining ETH
https://www.youtube.com/watch?v=kBSpTsbedac&t=201s

[VIDEO] Nice video explaining the mining alt coins business
https://www.youtube.com/watch?v=4rID_6FFQFI

Browse around this site for some really good info
http://buriedone.com/knowledge.html

Calculate what you would get if you know your mh/s
https://www.cryptocompare.com/mining/calculator/eth?

Currently the most efficient card for ETH
https://www.cryptocompare.com/mining/sapphire/radeon-rx-480-ethereum-mining/

[VIDEO] Some peeps with actual built rigs/farms
https://www.youtube.com/watch?v=FfpVVGkCoIk

https://www.youtube.com/watch?v=Cae6P8SriMk

https://www.youtube.com/watch?v=YDUzo95ZkqM




MINE ETH NOW With minimal setup required !!
https://minergate.com/a/227cd05c666a59244b658b15 <---- Use this link to sign up for Minergate

1) Create an account

2) Download the installer that coincides with your system specs

3) Run the program and start mining !!

4) There's a 1% fee for using Minergate but if you want to get around the 1%, you'd have to set up the miner manually.  https://ethereum.stackexchange.com/questions/110/how-to-mine-ether-and-use-ethereum-on-windows
****
I will be setting up 2 RX 580s to mine by end of June to test things out along with my desktop/laptop. If it works out well, I will probably make a 6 x 480 rig afterwards unless there's developments in Ethereum where it wouldn't be profitable anymore.

Hey I get it that not everyone will be wanting to be building rigs, but for sure I know that alot of ya'll leave your PC's running 24/7 so running the minergate program while you AFK will at least give you some extra pocket $$/Coins/Tokens or a few cups of coffee!! Have fun !!

Disclaimer: Yes, the link to minergate has my affiliate code in it.  And no, it doesn't hurt your bottom line by clicking on it.