Sunday, 25 August 2013

Question on Forecasting techniques

Question on Forecasting techniques

Please provide answers to the following questions
1.How to do forecasting if both trend and seasonal components are present
in the time series data
2.Does differencing method remove trend / seasonal component? If I use
d=1, would it remove trend component and d=12, seasonal component.
3.In 2/5 Evaluating forecast accuracy section, you have mentioned accuracy
methods. Would it be fine if I use all the forecasting method like ARIMA,
Exponential Smoothing, Mean, Naive and Seasonal naive method for a
particular data and then compute the forecast accuracy measures and select
the best model/Methods
Thanks in anticipation,
Shilpa Rai

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