We proposed a multi-resolution-wavelet-transform based method to extract brainstem auditory evoked potential (BAEP) from the background noise and then to identify its characteristics correctly. Firstly we discussed the mother wavelet and wavelet transform algorithm and proved that bi-orthogonal wavelet bior5.5 and stationary discrete wavelet transform (SWT) were more suitable for BAEP signals. The correlation analysis of D6 scale wavelet coefficients between single trails and the ensemble average of all trails showed that the trails with good correlation (> 0.4) had higher signal-to-noise ratio, so that we could get a clear BAEP from a few trails by an average and wavelet filter method. Finally, we used this method to select desirable trails, extracted BAEP from every 10 trails and calculated theⅠ-Ⅴinter-waves' latency. The results showed that this strategy of trail selection was efficient. This method can not only achieve better de-noising effect, but also greatly reduce the stimulation time needed as well.