I buy a single share of XYZ at $1.00 then later buy another share at $2.00. Thus I have a total of two shares at the average cost basis per share of $1.50.
I want to sell all my shares without incurring a loss at $1.50 with a stop limit. Soon later (less than 30 day period), I want to buy at a better price.
Can I sell all my shares at $1.50 or above without incurring a wash sale if I decide to buy again in the under 30 days? OR do I incur a wash sale on my second share that was bought at $2.00?
In other words, does wash sale occur on the average cost basis or based on the price of each share?