Image denoising techniques based on wavelet transforms and spatial filtering have become quite a standard tool in a large number of applications and research areas. However, the search for an efficient image denoising technique is still a valid challenge. Because it doesn't matter how much good camera one is using, an image enhancement is always required to extend the range of action. The high volumes of techniques are introduced so far, but most of them are either based on spatial properties of an image or multi-resolution pixel properties of the image. Therefore, an improved algorithm based on the combination of multi-resolution and spatial domain image features has been proposed. The methodology is based on an algorithm initially developed for the images which are viewed or processed at multiple resolutions using wavelet thresholding and after that, spatial filtering techniques are used to further enhance the image quality. This denoising algorithm outperforms the standard denoising techniques in terms of several quantitative metrics.