Easyjet Fares

[roda]

I have been tracking 1 particular flight in May from Gatwick to Murcia since 17th February.The price for 2 adults and 1 child of 2 years was £ 251.48. Most days the price either goes up or down. For instance on Feb. 26th it was £246.44 and on March 1st it shot up to £ 348.44.By the 26th it had come down to £ 279.44. By the 10th April it was down to £233.45. Today it is now at £ £267.44.
Can anyone explain to me why these prices vary. I always thought that they steadily rose as seats were sold. I am obviously wrong. Any explanations gratefully received.

[fiction-factory]

I think it also varies depending on how many people have looked at them over the last few hours/days.

[Samuraisan]

Currency exchange rates ?

[roda]

Thank you Samurasan but the the large change in prices cannot be due to exchange rates

[Hymie]

For the correct answer, Easyjet would need to supply the computer algorithm it uses.
But I doubt that it is simply a matter of the price rising as the seats are sold.

A much more likely scenario would run thus:-
Imagine that there are 200 seats on the flight, and on average they sell one seat a day from 200 days out. Clearly if there are less seats available than days until the flight, the price is likely to rise, regardless of the number of seats remaining.

I have long suspected that airlines monitor those checking the availability of seats, and regardless of whether a booking is made as a result of the enquiry, the price increases due to someone showing an interest in the seat. So you regularly checking the price of a flight could be influencing the price (in the wrong direction).