A real-time fetal ECG monitoring system using abdominal recording is presented. The system is based on an IBM AT compatible personal computer. The computer lacks the performance required for real-time analysis. Therefore, a new design of a fast hardware correlator board was developed to enhance the computer throughput. The technique is based on a cross-correlation procedure. An averaged maternal ECG waveform is derived using the cross-correlation function for the waveform's alignment. With this procedure a template signal corresponding to one complete maternal ECG is obtained. The averaged maternal ECG is then subtracted from the abdominal signals. Thus, it is possible to detect all the fetal ORS complexes in spite of their coincidence with the maternal ECG. An average fetal ECG is then extracted to improve the signal-to-noise ratio, making it possible to recognize fetal P and T waves.