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I think it depends on your signal bandwidth and bit rate..If your delay spread is too high, then the frequency response of your channel is further away from being flat, and so it is not suited for high bandwidth communication.
On the other hand, if it is very narrow (in time) compared to chiprate , then the reciever cannot distinguish between multipaths.
Depends on your application.
The red one is definitely better than the blue one for timing estimation cases and blue one for detection cases, provided you are satisfied withour results.
i do not what your application is.
If you are using the correlation function for signal detection purpose (as in CDMA/OFDM) then you may use the red one and high resolution applications the blue one.
the autocorrelation functions presented there are for the same signal. I calculated it after the multipath propagation of the signal with 2 different values for max delay. The red curve was obtained for a smaller max delay. I dont know what means if the blue curve has amplitude reduced and is wider than the red one.
How this can be explained?
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