AdvanceTrac is just Fords name for stability control. (which is now stock on just about every vehicle made)
The computer has a yaw sensor and accelerometers, and also monitors steering wheel position, throttle position and a bunch of other items. It determines where you are trying to make the truck go, matches it up against where the truck is actually going, and will apply brakes to individual wheels to make the truck go where you want it to.
The only thing you have to be careful of (at least on the early ones, not sure if it changed later) is counterteering when the truck is sliding. The ones I drove seemed to correct better if you just kept pointing the wheel where you intended to go.
It was an expensive option. Back when I sold them the only ones we had on the lot with AdvanceTrac were the completely loaded Bauers.