OPEN-SOURCE SCRIPT

VIX: Backwardation Vs Contango

Updated
VIX: Backwardation Vs Contango

Quickly visualize Contango vs Backwardation in the S&P 500 Volatility Index by plotting the prices of the futures contracts over the next 9 months

Note: indicator does not map to time axis in the same way as price; it simply plots the progression of contract months out into the future; left to right; so timeframe DOESN'T MATTER for this plot
TO UPDATE(every few months recommended): in REQUEST CONTRACTS section, delete old contracts (top) and add new ones (bottom). Then in PLOTTING section, Delete old [expired] contract labels (bottom); add new [distant future] contract labels (top); adjust the X in 'bar_index-(X+_historical)' numbers accordingly

This is one of several similar indicators: Meats | Metals | Grains | VIX

Tips:
-Right click and reset chart if you can't see the plot; or if you have trouble with the scaling.
-Right click and pin to Scale A to plot on the same scale as price

--Added historical input: input days back in time; to see the historical shape of the Futures curve via selecting 'days back' snapshot
updated 15th June 2022
© twingall
Release Notes
-now works on VIX as well as VX
-updated contracts 30th Jan 2023
Release Notes
-added function to detect if contract is expired: Now will stop showing contracts once they expire, unless using the backtesting 'snapshot' mode
backwardationCommoditiescontangoFundamental AnalysisfuturesfuturesmarketS&P 500 (SPX500)VIX CBOE Volatility Indexvolatilityindex

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.

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