Abstract: An optimized image singular value decomposition (SVD) denoising algorithm based on wavelet transform directional information and peak signal to noise ratio (PSNR) was proposed. As most of the energy noises were concentrated in low-frequency sub-image after wavelet transform, the simple Wiener filtering was made; on the other hand, the image noises were mainly concentrated in the high-frequency sub-image with three different directions and the coefficient was smaller, so the larger singular values of SVD and their corresponding eigenvectors were used to reconstruct denoising image; however, because of the inherent directional feature of the SVD, the denoising result of image reconstructed from high-frequency diagonal sub-image was not satisfied, so the diagonal sub-image was rotated to the level (vertical) direction, then the SVD filtering was done; finally, the anti-wavelet transform was used to reconstruct the denoising image based on the low-frequency and high-frequency sub-images, and the required number of singular values was determined by PSNR of the image. Experimental results show that this method has effective denoising effect, while retaining the high-frequency original details.