The word position is used in two ways in guitar teaching . The traditional sense is fret position . So 1 st position means index finger on 1 st fret other fingers covering one fret each above this is also called open position , because it typically includes open strings in scales or chords . The other sense common in modern guitar teaching , sadly is just names for each pattern of a scale . So typically position 1 means a pattern where the root note is the lowest note usually on 6 th string . So it ' s important to be clear about which meaning of position is being used . Either one is OK , but mixing them risks confusion ! So the E major scale being talked about is actually in 4 th position in the old sense index finger on 4 th fret , the E root note being on 7 th fret A string , under the little finger . The pattern then looks like the pattern you use for C major in open position except of course you ' re fretting 4 th fret , which is equivalent to open strings in open position . That ' s why , in the CAGED system , this pattern is called a Cform pattern . Of course , there ' s more doublethink going on there , with one name for the pattern or chord shape , and another name for the actual scale or chord being produced .