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The Fractal Adaptive Moving Average (FRAMA) is an intelligent, adaptive moving average that was developed by John Ehlers. It takes the importance of price changes into account and follows price closely with significant moves while remaining flat if price ranges. The FRAMA takes advantage of the fact that markets are fractal and dynamically adjusts the lookback period based on this fractal geometry. The actual calculation is very elaborate and complicated. The FRAMA is often used in combination with other signals and analysis techniques.
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XBTUSD, 15
Trading with FRAMA as use for support and resistance.

Here I break down the trading process, and how to trade around the Penta-FRAMA Indicator that I wrote. There are a total of 5 FRAMA's at work under the hood, 3 of which turn into high and low on slower timeframes. (RED and GREEN) The ORANGE is on the slower time frame but is much faster at reacting to rapid price movements. The BLUE is a Tracking FRAMA which is ...

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