Introducing basic concepts related to time series analysis
A time series is an ordered sequence of values over time, representing the variation of a certain phenomenon. Examples of time series include the trend of the prices of a certain product, and the trend of rainfall in a given region over time. The following figure shows an example of time series representing the natural gas price from 2000 to 2020:
Figure 11.1 – The natural gas price time series
Data was extracted from the DataHub website and is available at https://datahub.io/core/natural-gas under the public domain and the use of Energy Information Administration (EIA) content license.
Time series analysis, also known as time series forecasting, is the study of the past values of a time series, with the purpose of building a model that predicts its future values.
In this section, you will learn the following basic concepts and aspects related to time series:
- Loading a time series...