Relied　on　the　Floating　Car　Data　Collection　Experimental　System　(FCDCS)　constructed　in　our　laboratory,　the　paper　starts　with　the　definition　of　travel　speed　in　the　traffic　engineering　theory;　then,　based　on　the　real-time　Floating　Car　Data　(FCD),　a　stay　time　analysis　based　travel　speed　processing　algorithm　was　presented.　Through　comparing　the　calculated　travel　speed　with　the　collected　travel　speed　in　the　field　experiments,　the　research　has　validated　that　the　average　accuracy　of　algorithm　is　over　90　percents,　so　it　indicates　that　the　algorithm　is　capable　of　processing　the　FCD　into　travel　speed　simply　and　accurately.　Finally,　optimization　measures　are　introduced　into　the　data　process.　Accordingly,　test　result　shows　that　the　efficiency　of　data　process　has　been　markedly　improved.