A new automatic imagerecognition system uses CCD to incept reading image gathered by image gathering card,achieve character recognition and reticle orientation by software way, and accomplishcomputer dynamic precise self-motion decision of azimuth. In this paper, the hardwareconstitution, software module, core process technique including connected area disposalfor character recognition, infielder subdivision arithmetic for azimuth orientation andcompound of overall reading of system are emphatically introduced. The right ratio of thetechnique is nearly 100% and the orientation precision of the reticle under a second.