Fractal signal processing and novelty detection are used for fault detection in rolling element bearings. The former applies the concept of self-similarity based on wavelet variance, and the latter is based on machine learning and utilises artificial neural networks. The method is demonstrated using simulated and experimental vibration data. The work presented involves validation both on laboratory test rig data and industrial wind turbine data. The results show that the method can be used successfully for automated fault detection in ball bearings under real operational conditions.