This video describes how homing works, and the relationship between hard stops, proximity sensors and soft limits, and how to properly adjust them. This applies to AVID CNC machines with standard electronics package and the proximity sensor kit.

FYI, this is the second version of the video. A viewer pointed out (thank you) that there was a 2 minute section that was upside down, so I corrected that. So if you commented on the first one, that is why the comments are gone because YouTube doesn't allow reloading a new video to the same posting.