ARIMA Model Time Series Forecasting

Abstract: Time series forecasting is a critical component in various fields such as finance, economics, meteorology, and engineering. Among the multitude of methods available for time series forecasting, the Autoregressive Integrated Moving Average (ARIMA) model stands out for its simplicity and effectiveness. This paper provides a comprehensive review of ARIMA models, focusing on their application in forecasting time series data. We begin with an overview of time series analysis and the theoretical foundations of ARIMA models. Subsequently, we delve into the process of building and fitting ARIMA models, discussing the steps involved and the considerations for model selection. Furthermore, we explore advanced topics such as seasonal ARIMA (SARIMA) models and discuss their relevance in handling seasonal data patterns. Additionally, we review recent advancements and extensions of ARIMA models, including hybrid models and machine learning-based approaches. Finally, we discuss the challenges and limitations associated with ARIMA modeling and provide recommendations for future research directions.