  Lunar occultation (LO) technique in the near-infrared provides angular
resolution down to milliarcseconds on the occulted source even with
ground-based 1m class telescopes. LO observations are limited to brighter
objects because they require high signal to noise ratio (S/N ~ 40) for proper
extraction of angular diameter values. Hence, methods to improve the S/N ratio
by reducing noise using Fourier and Wavelet transforms have been explored in
this study. A sample of 54 near-infrared LO light curves observed with IR
Camera at Mt Abu observatory has been used. It is seen that both Fourier and
Wavelet methods have shown improvement in S/N, compared to the original data.
However, the application of wavelet transforms results in slight smoothening of
the fringes resulting in a higher angular diameter value. Fourier transforms
which reduce discrete noise frequencies do not distort the fringe. Fourier
transform method seems to be effective in S/N improvement, as well as improved
model fit particularly in the fainter regime of our sample. They also provide a
better model fit for brighter sources in some cases though there may not be
significant S/N improvement.
