The detection and analysis of chatter behaviour in endmilling is very complex and difficult so it is necessary to detect and diagnose this chatter phenomenon clearly. This paper presents a new method for detecting the abnormal chatter in endmilling operation, based on the wavelet transform. Using AR spectrum the data that has chatter phenomenon was verified and the fundamental property of chatter and its characteristics in endmilling by using the wavelet transform is reviewed. This result obtained by wavelet transform proves the possibility and reliability of detecting the chatter in endmilling operation.