Alright here is my trend line equation for my polynomial forecast
y= -6E-09x4 + 2E-06x3 - 0.0001x2 + 0.004x + 0.0268
The period which I am forecasting is x=126
I am trying to forecast the unemployment rate and instead of using dates, I am using numerical values for quarters.. Hence 126= June 2011
When I inserted the equation into excel I got 1.431667744
Which makes absolutely no sense because the unemployment rate cannot be 143% i June 2011... Is my formula wrong..
The formula I put into excel was
= ((-0.000000006*POWER(A127, 4) + 0.000002*POWER(A127, 3) - 0.0001*POWER(A127, 2) + 0.004*A127 + 0.0268))
Any help is greatly appreciated... I have been stuck all day trying to figure this out and I have this project due in 2 days
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