A method and system for dynamically shifting spurious tones away from the desired frequency in a virtual local oscillator receiver, such that any undesired signal residing at such spurious tones are effectively delineated from the desired signal and removed from the RF input signal. The system detects the presence of potential undesired blocker signals in the RF input signal, and initiates an iterative power comparison and mixer signal adjustment loop. As the virtual local oscillator uses two mixer signals, the frequency of one of the mixer signals is adjusted during the loop until the power of the down-converted signal is minimized to a predetermined level. Minimized power in the down-converted signal is indicative of the absence of the blocker signal, since the presence of a relatively high power signal is indicative of a blocker signal overlapping with a desired signal.