A control of the body posture and movement is maintained by the vestibular system, vision, and proprioceptors. Especially, vestibular system has a very important function that controls the eye movement through vestibuloocular reflex and contraction of skeletal muscles through vestibulospinal reflex. However, postural disturbance caused by loss of vestibular function results in nausea, vomiting, vertigo and loss of craving for life. Lose of vestibular function leads to abnormal reflex of eye movements named nystagmus. Analysis of the nystagmus is needed to diagnose the vertigo, which is performed by means of electrooculography(EOG). The purpose of this study is to develop a computerized system for data processing and an algorithm for the automatic evaluation of the slow component velocity(SCV) of nystagmus induced by optokinetic(OKN) stimulation system. A new algorithm using recursive least square method(RLSM) to detect SCV of nystagmus is suggested in this paper. This method allows a fast and precise evaluation of the nystagmus, through artifact rejection techniques. The results are depicted in this paper.