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Moving Averages OCR Stage 8. Why use them? Moving Averages, when graphed, allow us to see any trends in data that are cyclical By calculating the average.

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Presentation on theme: "Moving Averages OCR Stage 8. Why use them? Moving Averages, when graphed, allow us to see any trends in data that are cyclical By calculating the average."— Presentation transcript:

1 Moving Averages OCR Stage 8

2 Why use them? Moving Averages, when graphed, allow us to see any trends in data that are cyclical By calculating the average of 2 or more items in the data, any peaks and troughs are smoothed out.

3 Year Quarter Sales Period Moving Average

4 Year Quarter Sales period Moving Average Quarters Moving Average

5 Year Quarter Sales x x x x x x x x x x x x Quarters Moving Average x xx x xx x x x


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