That is correct frame are made in the frame animation panel. There are some interesting items in the Panel fly-out menu like tween, make frame from layers, reverse frame order. For example the following animated. Gif has two layers and the layer above the background layer has an un-linked layer mask. I created the first and last frame from the two layer where the contents of the layer above the background layer was move by me from where it was in the first frame to where it is in the last frame. Photoshop tween option created all the frames between. The newer version of Photoshop Timeline Palette can do both Frame Animation and Video. It is a big improvement over the Animation Palette which can only do frame animations.
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