An effective and robust decomposition-ensemble energy price forecasting paradigm with local linear prediction

Energy price time series exhibit nonlinear and nonstationary features, which make accurate forecasting energy prices challenging. In this paper, we propose a novel decomposition-ensemble forecasting paradigm based on ensemble empirical mode decomposition (EEMD) and local linear prediction (LLP). The EEMD is used to decompose energy price time series into components, including several intrinsic mode functions and one residual with a simplified...