Moving Average is also known as the Moving Mean. This option appears when you enable the Analyze Trends option present at the upper-right part of the screen (just below the Analyze Data option). Moving average is calculated for the data selected with base value as 2.
Moving Average has three types of algorithm used for calculation, which can be selected from the Moving Average Type drop-down:
- Simple: Also known as Un-weighted Moving Mean, it is the calculated averages over specific time periods divided by the total number of time periods.
- Weighted: This calculation is same as above with more weightage to the recent values, this gives a considerable understanding of trends for analyzing data.
- Exponential: This is the quickest to respond to data value fluctuations and gives a better understanding of trending data, helping you understand the mean usages and needs better.
Figure 1: Moving Average Type options listed under Analyze Trends option
The chart below shows an example of weighted moving average curve for the selected data.
Figure 2: Analytics section with Line chart after selecting Weighted moving average type