frama

Function Name: frama

Tags: Moving Averages

Category: Trend

The Fractal Adaptive Moving Average (FRAMA) indicator was introduced by John Ehlers. Based on the assumption that market prices are fractal, this indicator presents a new method of adaptive smoothing. The purpose of this indicator is to eliminate bad whipsaw trades.

A moving average is generally used for trend identification. Attention is given to the direction in which the average is moving and to the relative position of prices and the moving average. Rising moving average values (direction) and prices above the moving average (position) would indicate an uptrend. Declining moving average values and prices below the moving average would indicate a downtrend.

 

Author:   John Ehlers

 

period
	Default Value: 16  |  Minimum: 2  |  Maximum: 9999
	Type: Numeric
shift
	Default Value: 0  |  Minimum: 0  |  Maximum: 100
	Type: Numeric