Weak signal, low instrument signal-to-noise ratio, continuous variation of human physiological environment and the interferences from other components in blood make it difficult to extract the blood glucose information from near infrared spectrum in noninvasive blood glucose measurement. The floating-reference method, which analyses the effect of glucose concentration variation on absorption coefficient and scattering coefficient, gets spectrum at the reference point and the measurement point where the light intensity variations from absorption and scattering are counteractive and biggest respectively. By using the spectrum from reference point as reference, floating-reference method can reduce the interferences from variation of physiological environment and experiment circumstance. In the present paper, the effectiveness of floating-reference method working on improving prediction precision and stability was assessed through application experiments. The comparison was made between models whose data were processed with and without floating-reference method. The results showed that the root mean square error of prediction (RMSEP) decreased by 34.7% maximally. The floating-reference method could reduce the influences of changes of samples’ state, instrument noises and drift, and improve the models’ prediction precision and stability effectively.