While monitoring the forecast values based on simple moving
While monitoring the forecast values based on simple moving average method (averaging period = 3), the tracking signals are consistently coming out as large positive numbers (i.e., 4.0, 6.2, and 5.5). What should we do to the forecast model?
Solution
Answer:
5.233333
| Answer: | |
| Numbers | Moving average |
| 4 | |
| 6.2 | |
| 5.5 | 5.233333 |
