I guess this is about the order of selling shares, but let's say I buy 100 shares in company x for $2, so total outlay is $200.
Six months later, the SP has gone down to $1. I think it is a good deal, so I buy 100 more at $1, for total outlay of $100.
The SP goes up to $1.50, and I think "wow, I have made $50 profit on those last 100 sharesI I bought at $1 each" so I sell 100 shares, receiving $150 in total.
This is where I'm a bit confused...if I have sold my first hundred which I bought at $2 each, then I have made a loss of $50. However, if I sold the most recent 100 I purchased at $1 each, then that means a profit of $50.
So...which one is it?