Exponential prediction models based on sequence operators

One of the difficulties experienced in applications of exponential predicti on models of time series is resolved by introducing sequence operators. Thi s approach is different from all known modelings of time series and regress ion analysis. Also, discontinuities (or outliers), appearing in a given tim e series, can be naturally absorbed by applying sequence operators. This en d is important since, in terms of predictions, outliers or discontinuities in the data might signal major changes in the pattern of the time series da ta.