diff --git a/plugins/channelrx/demodnfm/nfmdemod.cpp b/plugins/channelrx/demodnfm/nfmdemod.cpp
index 2f0326078..1d583f041 100644
--- a/plugins/channelrx/demodnfm/nfmdemod.cpp
+++ b/plugins/channelrx/demodnfm/nfmdemod.cpp
@@ -150,9 +150,13 @@ void NFMDemod::feed(const SampleVector::const_iterator& begin, const SampleVecto
 
 				qint16 sample;
 
-				m_AGC.feed(ci);
+				//m_AGC.feed(ci);
+
+                //double magsqRaw = m_AGC.getMagSq();
+				long double magsqRaw; // = ci.real()*ci.real() + c.imag()*c.imag();
+
+				Real demod = m_phaseDiscri.phaseDiscriminator3(ci, magsqRaw);
 
-                double magsqRaw = m_AGC.getMagSq();
                 Real magsq = magsqRaw / (1<<30);
                 m_movingAverage.feed(magsq);
                 m_magsqSum += magsq;
@@ -164,8 +168,6 @@ void NFMDemod::feed(const SampleVector::const_iterator& begin, const SampleVecto
 
                 m_magsqCount++;
 
-				Real demod = m_phaseDiscri.phaseDiscriminator2(ci);
-
 				//m_m2Sample = m_m1Sample;
 				//m_m1Sample = ci;
 				m_sampleCount++;
diff --git a/plugins/channelrx/demodnfm/nfmplugin.cpp b/plugins/channelrx/demodnfm/nfmplugin.cpp
index 8252fbe52..19076811f 100644
--- a/plugins/channelrx/demodnfm/nfmplugin.cpp
+++ b/plugins/channelrx/demodnfm/nfmplugin.cpp
@@ -7,7 +7,7 @@
 
 const PluginDescriptor NFMPlugin::m_pluginDescriptor = {
 	QString("NFM Demodulator"),
-	QString("3.1.1"),
+	QString("3.2.0"),
 	QString("(c) Edouard Griffiths, F4EXB"),
 	QString("https://github.com/f4exb/sdrangel"),
 	true,
diff --git a/sdrbase/dsp/phasediscri.h b/sdrbase/dsp/phasediscri.h
index 7078f0859..fba979973 100644
--- a/sdrbase/dsp/phasediscri.h
+++ b/sdrbase/dsp/phasediscri.h
@@ -70,10 +70,47 @@ public:
 		return (h1 - h2) * m_fmScaling;
 	}
 
+	/**
+	 * Second alternative
+	 */
+    Real phaseDiscriminator3(const Complex& sample, long double& magsq)
+    {
+        Real fltI = sample.real();
+        Real fltQ = sample.imag();
+        double fltNorm;
+        Real fltNormI;
+        Real fltNormQ;
+        Real fltVal;
+
+        magsq = fltI*fltI + fltQ*fltQ;
+        fltNorm = std::sqrt(magsq);
+
+        fltNormI= fltI/fltNorm;
+        fltNormQ= fltQ/fltNorm;
+
+        fltVal = m_fltPreviousI*(fltNormQ - m_fltPreviousQ2);
+        fltVal -= m_fltPreviousQ*(fltNormI - m_fltPreviousI2);
+        fltVal += 2.0f;
+        fltVal /= 2.0f; // normally it is /4
+
+        m_fltPreviousQ2 = m_fltPreviousQ;
+        m_fltPreviousI2 = m_fltPreviousI;
+
+        m_fltPreviousQ = fltNormQ;
+        m_fltPreviousI = fltNormI;
+
+        return fltVal * m_fmScaling;
+    }
+
 private:
 	Complex m_m1Sample;
 	Complex m_m2Sample;
 	Real m_fmScaling;
+	Real m_fltPreviousI;
+	Real m_fltPreviousQ;
+    Real m_fltPreviousI2;
+    Real m_fltPreviousQ2;
+
 };
 
 #endif /* INCLUDE_DSP_PHASEDISCRI_H_ */