Exponential Smoothing

Exponential Smoothing calculates the forecast based on the previous demand and forecast of the period. To achieve this, Offset periods is set to 1. You can also elaborate and use different Offset periods depending on purpose. The Smoothing constant - Alpha, α, is a value between zero (0) and one (1). The higher the α, the faster the method reacts to changes in demand. This model is good for non-seasonal data that is fairly level, not trend.