Traditionally arousal classification has been broadly done in multiple classes but have been insufficient to provide information about how arousal level of user changes over time. Present disclosure propose a continuous and unsupervised approach of monitoring the arousal trend of individual from his/her heart rate by obtaining instantaneous HR for time windows from a resampled time series of RR intervals obtained from ECG signal. A measured average heart rate (a measured HR) is computed from instantaneous HR specific to user for each time window thereby estimating apriori state based on a last instance of an aposteriori state initialized and observation of a state space model of Kalman Filter is determined for computing error and normalizing thereof which gets compared with a threshold for continuous monitoring of arousal trend of the user. The aposterior state is further updated using Kalman gain computed based on measurement noise determined for state space model.