Live Market Analysis

Futures Volatility Heatmap

Identify high-movement futures contracts instantly. Visualize real-time volatility against historical averages to spot trading opportunities.

Real-time volatility tracking against 14-Day Average Daily Range.

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What is a Futures Volatility Heatmap?

A futures volatility heatmap is an interactive visualization tool that displays real-time price movement intensity across multiple futures contracts. By comparing each contract's current trading range against its average daily range (ADR), the heatmap instantly identifies which markets are experiencing elevated or suppressed volatility. Color-coded cells—ranging from green (quiet) to red (high volatility)—enable traders to quickly spot potential trading opportunities and assess market risk at a glance.

Key Metrics Explained

Average Daily Range (ADR)
The mean difference between daily high and low prices over a specified period (typically 14 days), representing normal price movement for a futures contract.
Volatility Ratio
Current day's range divided by ADR. Values >1.0 indicate above-average volatility; >1.5 signals significantly elevated movement.
Day Range
The difference between the current day's high and low price, measured in contract-specific units.
Futures Contracts Tracked
ES (S&P 500 E-mini), NQ (NASDAQ 100 E-mini), GC (Gold), SI (Silver)

Understanding Volatility in Futures Trading

What is Average Daily Range (ADR)? The ADR measures the typical distance between a contract's daily high and low over a specified period (we use 14 days). It helps traders understand normal price movement patterns for each contract.

How to Use This Heatmap: Look for contracts with orange or red highlighting - these are moving significantly more than their typical range, indicating potential trading opportunities or increased risk. Green cells show quieter markets with below-average movement.

Asset Classes Covered:

  • Indices: S&P 500 (ES), NASDAQ (NQ)
  • Metals: Gold (GC), Silver (SI)

Frequently Asked Questions

What is a futures volatility heatmap?

A futures volatility heatmap is a visual tool that displays the current price movement intensity of futures contracts compared to their historical average daily range (ADR). Contracts with higher than normal volatility are highlighted in warm colors (orange/red), while quieter markets appear in cool colors (green/yellow).

How is Average Daily Range (ADR) calculated?

Average Daily Range (ADR) is calculated by taking the difference between the daily high and low prices over a specified period (typically 14 days) and averaging those values. It represents the typical price movement range for a futures contract.

What does the volatility ratio mean?

The volatility ratio is calculated by dividing the current day's price range by the Average Daily Range (ADR). A ratio above 1.0 indicates higher than normal volatility, while below 1.0 indicates lower than normal volatility. Ratios above 1.5 signal significantly elevated market movement.

Which futures contracts are tracked?

The volatility heatmap tracks major futures contracts including: ES (S&P 500 E-mini), NQ (NASDAQ 100 E-mini), GC (Gold), and SI (Silver). These cover the Indices and Metals asset classes.

How do traders use volatility heatmaps?

Traders use volatility heatmaps to quickly identify which markets are experiencing unusual price movement. High volatility (red/orange) can signal trading opportunities but also increased risk. Low volatility (green) may indicate consolidation or range-bound markets. The heatmap helps prioritize which contracts to monitor or trade.