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Adaptive MAs (MAMA, FAMA, KAMA)

Adaptive moving averages a.k.a volatility-weighted moving averages are great tools for filtering out whipsawed trades as well as protecting the traders from premature exits when using stoploss. Adaptive moving averages are constructed in such a way that:

1) as volatility increases the sensitivity of the moving averages decreases, distancing the moving averages from price.

2) as volatility subsides, the sensitivity of the adaptive moving average starts to increase, drawing it closer to price action.


References:
[1] stockcharts.com/school/doku.php?id=chart_school:technical_indicators:kaufman_s_adaptive_moving_average
[2] mesasoftware.com/papers/MAMA.pdf


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