DS signal is a second order cyclostationary signal, where the information of chip width, carrier frequency and amplitude of signal is included in the amplitude of cyclic spectrum. A novel parameter estimation algorithm of DS signal, which makes use of the position and magnitude of non-zero cyclic spectral peaks to estimate the three parameters, is presented. This algorithm can implement blind estimation without a prior knowledge of pseudorandom sequence and signal parameters. This algorithm is suit for the estimation of low input signal-to-noise ratio, which can weaken or avoid the affection of stationary noise and interference by searching in non-zero cyclic frequencies. Moreover, this algorithm is more efficient by reducing multi-dimensional search to three single dimensional searches. The implement condition of the algorithm is analyzed and the performance of parameter estimation is measured by computer simulation.