When creating a contract you have the ability to select the "Probability of Closing". If the contract has a close date you can enter "Will Close", otherwise you can select High, Medium, or Low probability depending on the feedback from the client.
Providing a probability to your contracts allow you to know exactly where you stand from the contract view. Each color represents a probability; "Will Close" is green, "Low" is red, "Medium" is blue, or "High" is yellow.
By using the "Filter By" button you can filter your view by the probability you choose to view.