The present invention relates to a physiological monitor and system, particularly to an electroencephalogram (EEG) monitor and system, and a method of detecting the presence and absence of artifacts and possibly removing artifacts from an EEG, other physiological signal or sensor signal without corrupting or compromising the signal. The accurate, real-time detection of the presence or absence of artifacts and removal of artifacts in EEG or other signals allows for increased reliability in the efficacy of those signals. The strategy of rejecting artifact-corrupted EEG can result in unacceptable data loss, and asking subjects to minimize movements in order to minimize artifacts is not always feasible. The present invention allows for increased accuracy in detection and removal of artifacts from physiological signals, substantially in real time, and without loss or corruption of signal or data in order to increase the accuracy of such signals for diagnosis and treatment purposes.