Simple yet robust techniques for detecting targets in infrared (IR) images are an important component of automatic target recognition (ATR) systems. In our previous works, we have developed IR target detection and tracking algorithms based on image correlation and intensity. In this paper, we discuss these algorithms, their performances and problems associated with them and then propose novel algorithms to alleviate these problems. Our proposed target detection and tracking algorithms are based on frequency domain correlation and Bayesian probabilistic techniques, respectively. The proposed algorithms are found to be suitable for real-time detection and tracking of static or moving targets, while accommodating for detrimental affects posed by the clutter and background noise. Finally, limitations of all these algorithms are discussed.