Pulling a signal out of the noise

This is an older chart I made that was part of a thread at the Azimuth Forum.

If you were to take a cursory look at the unfiltered signals on the right, you would never imagine that the correlation on the left would be that good. The ENSO signal is the difference between the Tahiti and Darwin signals, and that correlates with the tidal gauge in Sydney, Australia.  The key is to apply the right kind of filtering to the signals; in this case removing the noisy sub-year fluctuations.

 

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