How To Forecast Using Gretl? A Practical Example -Part Two

In the first part of this tutorial, we have learned how to check the stationarity of a time series data using multiple methods. Now, we are going to learn how to build multiple ARIMA models and decide which one to use for our forecast.

How To Forecast Using Gretl? A Practical Example -Part One

 In this post, I tried to explain how to make accurate economic/financial predictions using ARIMA (Auto-Regressive Integrated Moving Average) method in Gretl. To make it more clear and understandable, I also added screenshots for each step. The very first step for this is to make the data ready for model estimation. So I intended to explain the concepts of stationary/non-stationary data and how to detrend data in order to make it useful for time-series analysis.