Crude Oil: Backwardation Vs Contango

21 jun 2022

Crude Oil, CL

Plots Futures Curve: Futures contract prices over the next 3.5 years; to easily visualize Backwardation Vs Contango(carrying charge) markets.
Carrying charge (contract prices increasing into the future) = normal, representing the costs of carrying/storage of a commodity. When this is flipped to Backwardation(As the above; contract prices decreasing into the future): it's a bullish sign: Buyers want this commodity, and they want it NOW.

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 year or so): in REQUEST CONTRACTS section, delete old contracts (top) and add new ones (bottom). Then in PLOTTING section, Delete old contract labels (bottom); add new contract labels (top); adjust the X in 'bar_index-(X+_historical)' numbers accordingly

This is one of several similar Futures Curve indicators: Meats | Metals | Grains | VIX | Crude Oil
If you want to build from this; to work on other commodities; be aware that Tradingview limits the number of contract calls to 40 (hence the multiple indicators)

Tips:
-Right click and reset chart if you can't see the plot; or if you have trouble with the scaling.
-Right click and add to new scale if you prefer this not to overlay directly on price. Or move to new pane below.
-If this takes too long to load (due to so many security calls); comment out the more distant future half of the contracts; and their respective labels. Or comment out every other contract and every other label if you prefer.

--Added historical input: input days back in time; to see the historical shape of the Futures curve via selecting 'days back' snapshot
updated 20th June 2022
© twingall

21 jun 2022

Notas de prensa

reduced the numbers of contract calls to make this quicker to load. Comment/ uncomment the lines as you prefer

3 jul 2022

Notas de prensa

-updated to work on WTI (MATBAROFEX): Plots CL (NYMEX) futures curve when selected asset is WTI

3 jul 2022

Notas de prensa

-updated chart image and code comments

29 ene 2023

Notas de prensa

-Updated Contracts

29 ene 2023

Notas de prensa

-changed barstate.islast to barstate.islastconfirmedhistory to avoid 'snapshot' label double print

3 feb 2023

Notas de prensa

-added function to detect if contract is expired: Now will stop showing contracts once they expire, unless using the backtesting 'snapshot' mode