Sight Seeing Question, Moving beyond the "first position" Options

[Rain]

I can do pretty well in the first position now but how do I know if I should move to notes past the third fret? Is there notation to direct me to move to those higher pitches? For example, in the "Rock Ballad Solo" lesson the notation doesn't seem to note whether or not I should move up to say the "10th fret" - but does mention what note to play...

So - long question short: How do I know when to use certain regions of the fretboard at one time rather than others?

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