A processing system is provided that includes a memory for storing an input bit stream and a processing logic, operatively coupled to the memory, to generate a first score based on: a first set of matching data related to a match between a first bit subsequence and a candidate bit subsequence within the input bit stream, and a first distance of the candidate bit subsequence from the first set of matching data. A second score is generated based on a second set of matching data related to a match between a second bit subsequence and the candidate bit subsequence, and a second distance of the candidate bit subsequence from the second set of matching data. A code to replace the first or second bit subsequence in an output bit stream is identified. Selection of the one of the bit subsequences to replace is based on a comparison of the scores.