I am trying to learn Holt Winters exponential smoothing. In the algorithm there are three indices involved (level, trend, seasonality) while forecasting.
What is the interpretation of these 3 indices? How do I differentiate between different values of these indices? For example, what is the difference between level 100 and level 200 or what is the difference between trend 2 and trend 5? How do we initiate these values?
Any help will be greatly appreciated.