3. Forecasting with Moving Averages
In This Chapter:
The concept of a moving average is straightforward. You generally apply a moving average to a series of observations taken over time. The average moves forward with the data series. So, the first moving average might include Days 1 through 3, the second moving average might include Days 2 through 4, and so on. This chapter discusses some of the reasons why you might want to make those calculations.
If that were all there is to it, there wouldn’t be much point to including the material in this chapter. However, the simple moving average forms the basis for much more sophisticated analyses. For ...