Table of contents
Weighted Moving Average
Definition
A weighted moving average of order \(2q + 1\) has the form
\[\begin{equation} MA(t) = \displaystyle\sum_{j=-q}^{q}{a_j X_{t+j}} = a_{-q}X_{t-q} + \ldots + a_{-1}X_{t-1} + a_0X_t + a_1X_{t+1} + \ldots + a_qX_{t+q} \end{equation}\]where the weights \(a_j, j = -q, -q + 1, \ldots, q\), add up to 1.