The tool supports interface of Foresight Analytics Platform 9 or earlier.

Hodrick-Prescott Filter

The Hodrick-Prescott Filter method is applied to series values. It is included in the Smoothing group.

Hodrick-Prescott filter is a time series smoothing method that is used to determine long-term trends.

After the method is applied, in the workbook, based on each selected series a calculated series with a name of the Hodrick-Prescott Filter(<Series_Name>) type is created, containing the calculation results. For example:

Setting Up Calculation Parameters. The Parameters Tab

To set up calculation parameters, use the Parameters side panel tab.

To display the tab

Method parameters:

Smoothing Parameters. Controls series smoothness. The greater is parameter value, the smoother is the series. If the smoothing parameter value tends to infinity, the series transforms into a linear trend. Use the radio buttons to select a method to determine smoothing parameters:
- Lambda. The smoothing parameter depends on the lambda value. Default value - 100.
- Power. The smoothing parameter is determined by the power value that must be greater than zero. Default value - 4.