Hey man, I know it's well over a year since you commented, and I want to say you're right but not correct when applying your CAGED shapes to this lesson. If you don't see this, hopefully, it helps the next person.
The idea is to switch the
CAGED shape for
each chord played in the backing track; you'll be using the same fret range for each chord. In this lesson's scenario, we're playing
chord D in
shape A,
chord C in
shape G,
chord G in
shape D, and
chord F in
shape C. All of these shapes utilize frets 4 thru 8 allowing opportunities to find your style and to jam more intelligently