Description: The weighted moving average is a statistical technique used to smooth time series data and highlight trends over time. Unlike the simple moving average, which assigns the same weight to all data points in the analyzed period, the weighted moving average gives different weights to each data point, allowing more recent data to have a greater impact on the calculation. This is particularly useful in contexts where recent data is more relevant for decision-making. The basic formula for calculating the weighted moving average involves multiplying each value by its corresponding weight, summing these products, and then dividing by the sum of the weights. This technique is widely used in various domains such as financial analysis, sales forecasting, and the evaluation of economic indicators, as it helps to eliminate noise from the data and provides a clearer view of underlying trends. The weighted moving average is a valuable tool for analysts and professionals looking to make informed decisions based on historical data, as it allows for a more nuanced interpretation of temporal information.