CAT / FIA FMA Syllabus B. Data Analysis And Statistical Techniques - Moving averages - Notes ^{9 / 14}

Time series analysis and forecasting

This is carried out in two steps:

1. Establishing the long-term underlying trend using moving averages or linear regression. 

   A moving average is an average of the results of a fixed number of periods.

2. Establishing the regular seasonal variations (SV).