How to calculate the average price of the open position?

General
1

Below is my tradebook, how do I calculate the average price of the open quantity, which is 75 Nifty Jun futures?

Trade date Contract description Type Quantity Rate
29-05-2015 NIFTY15JUNFUT S 25.00 8417.00
29-05-2015 NIFTY15JUNFUT B 25.00 8406.00
01-06-2015 NIFTY15JUNFUT B 25.00 8440.00
01-06-2015 NIFTY15JUNFUT S 25.00 8465.00
02-06-2015 NIFTY15JUNFUT B 25.00 8350.00
03-06-2015 NIFTY15JUNFUT B 25.00 8180.00
08-06-2015 NIFTY15JUNFUT B 25.00 8065.00
08-06-2015 NIFTY15JUNFUT S 25.00 8072.00
08-06-2015 NIFTY15JUNFUT B 25.00 8045.00
08-06-2015 NIFTY15JUNFUT S 25.00 8050.00
09-06-2015 NIFTY15JUNFUT B 25.00 8015.00
09-06-2015 NIFTY15JUNFUT S 25.00 8035.00
10-06-2015 NIFTY15JUNFUT B 50.00 8098.00
10-06-2015 NIFTY15JUNFUT S 50.00 8100.00
11-06-2015 NIFTY15JUNFUT B 25.00 8062.00
         
    Net open 75.00  
2

The best way to calculate is by using First in and First out, as there is no distinction between intraday and overnight trades when trading derivatives.

With this logic, the buy price of the last 3 lots you bought would be the average price, 50 @8098 and 25@ 8062, which is 8086.

You will have to look at open position along with your P&L to get a complete picture on how much up or down you are on this contract. Just open position won’t be enough.

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