CODEWITHSUNDEEP
pythonarima
Peter
Peter

Reputation: 1

PM Auto Arima: How to forecast?

I followed this guide (https://alkaline-ml.com/pmdarima/usecases/stocks.html) with pm auto arima and applied it to my own data.

So I created a model, fitted it with the training data and made a forecast with the test data. Now I want to make a prediction for x days into the future. Can I use the same model or should I create a new model on the whole data set?

On other websites (Medium) I have always seen that the whole data set is used. So why do you have to create a test set and a training set?

I have tried both methods and forcasted x days but got very different results.

Upvotes: 0

Views: 232

Answers (1)

Arne Decker
Arne Decker

Reputation: 923

When you create your model, you need some way to evaluate how well it performs. That's why you split the data into training and test sets. When you found a model (in case of ARIMA the order) with sufficient performance, you can train it on the entire data and make predictions for the future.

Upvotes: 0

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