Question

The data about the closing prices of shares of a company for 10 days are given in the following table. Obtain the trend using graphical method.

Day	1	2	3	4	5	6	7	8	9	10
Price of share	297	300	304	299	324	320	318	324	329	328

Answer 1

Here, the unit of time is day; y = Price of share; t assumes 1, 2, 3, …………. 10. The given time series is written as shown in the following table:

Time t	1	2	3	4	5	6	7	8	9	10
Price of share y	297	300	304	299	324	320	318	324	329	328

Taking t on X-axis and y on Y-axis, the points (1, 297), (2, 300), ……., (10, 328) are plotted on the graph paper. Joining these points serially by straight lines, the curve of the given time series is obtained as follows:

The curve passing through close to most of the points of curve of original series is showing the trend of the given time series.