A new wavelet-based image denoising algorithm, which exploits the edge information hidden in the corrupted image, is presented. Firstly, a canny-like edge detector identifies the edges in each subband. Secondly, multiplying the wavelet coefficients in neighboring scales is implemented to suppress the noise while magnifying the edge information, and the result is utilized to exclude the fake edges. The isolated edge pixel is also identified as noise. Unlike the thresholding method, after that we use local window filter in the wavelet domain to remove noise in which the variance estimation is elaborated to utilize the edge information. This method is adaptive to local image details, and can achieve better performance than the methods of state of the art.