Interpretation of Graph of Moving Averages

From the graph we noticed that after the 6th year the trend curve of five-year moving averages is almost a straight line, but the graph of 7 year moving-average is a wave light line does it is quite clear that after the 60 year, data follows regular cycles of length 5 years.Moving averages smooth out periodic variations, if the period of the moving average is same as the period of the variation, but if the period of moving averages is less or more than the period of variation, the periodic effect still remains in the moving averages figures. It can also be noted that when the actual data has peaks the seven years moving averages has depressions.

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