Excel Trendline - Easy Excel Tutorial http://www.excel-easy.com/examples/trendline.

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Trendline
This example teaches you how to add a trendline to a chart in Excel.
Chapter
1. Right click the data series, and then click Add Trendline...
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Trendline

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Excel Trendline - Easy Excel Tutorial http://www.excel-easy.com/examples/trendline.html

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Combination Chart

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2. Choose a Trend/Regression type. Click Linear. trendline.xls

3. Specify the number of periods to include in the forecast. Type 3 in the Forward box.

4. Check "Display Equation on chart" and "Display R-squared value on chart". Follow Excel Easy

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Excel Trendline - Easy Excel Tutorial http://www.excel-easy.com/examples/trendline.html

5. Click Close.

Result:

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Excel Trendline - Easy Excel Tutorial http://www.excel-easy.com/examples/trendline.html

Explanation: Excel uses the method of least squares to find a line that best fits the points. The R-squared value
equals 0.9295, which is a good fit. The closer to 1, the better the line fits the data. The trendline gives you an idea
which direction the sales are going. In period 13, you might be able to achieve a sales of almost 120. You can
verify this by using the equation. y = 7.7515 * 13 + 18.267 = 119.0365.

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Excel Trendline - Easy Excel Tutorial http://www.excel-easy.com/examples/trendline.html

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