🔍 1. Ensure High-Quality Data
- Use clean, relevant, and up-to-date datasets
- Check for missing values and outliers
- Normalize data to avoid bias
🧠 2. Choose the Right Model
- Select models based on data characteristics (e.g., ARIMA for time series, ML for complex patterns)
- Compare models using metrics like MAE, RMSE, or R²
- Avoid overfitting by using cross-validation
🧪 3. Validate and Test Predictions
- Split data into training, validation, and test sets
- Use backtesting to evaluate historical performance
- Monitor model accuracy over time
📚 4. Document Your Process
- Record assumptions, parameters, and results
- Share methodologies with stakeholders
- Update documentation as models evolve
For advanced techniques, visit our guide on /en/forecasting-techniques to explore machine learning and statistical modeling methods.