Exercise

Combining residuals from regression & time series

The residuals from the two different models that you have developed now need to be combined together! Once they are combined we will have our full forecast. Your residual forecast is stored as for_MET_hi_arima.

Your regression forecast is saved in the workspace as pred_MET_hi_xts.

Instructions

100 XP

Transform the residuals forecast with the exponential function.
Multiply this new residual forecast to your previous regression forecast (pred_MET_hi_xts).