Crude Oil Price Forecasting Using Machine Learning

Abstract

Crude oil, also called black gold, is naturally available raw petroleum derivative made out of hydrocarbon stores in natural underground repositories. It can fluctuate in color to several shades of yellow and black based on its hydrocarbon blend and stays fluid at a temperature and climatic weight. Crude oil, also called raw petroleum, can be turned into usable petroleum derivatives like diesel, gasoline, several categories of petrochemicals. Trend and seasonality prediction in time series data deals with prediction of future movements of data from the previous analysis of the data. Analysis is based on the idea that what has happened in the past gives traders an idea of what will happen in the future. Data is collection of related information. Data mining is the practice of examining large pre- existing databases in-order to generate new information. Time series is a collection of observations of well-defined data items obtained through repeated measurements. The time series cab be classified into stock and flow. Trend is the slopping line added to relate the two time series or it is continued increase or decrease in series over time. Seasonality is a characteristic of time series in which the data experience regular and predictable changes that recur every calendar year. Any predictable change or pattern in a time series that recurs or repeats over a one-year period can be said to be seasonal. Trend analysis is a statistical technique that deals with time series data.