A LOCATION TRACKING SYSTEM FOR INDOOR MEDICAL DEVICES COMPRISING A LOCATION SERVER CONNECTED TO THE SYSTEM (200), A WIRELESS PULSE OXIMETER (110) WIRELESSLY CONNECTED TO THE LOCATION SERVER, A TELG WIRELESS SENSOR BOARD INSTALLED IN THE WIRELESS PULSE OXIMETER (110), FOR TRANSMITTING DATA TO A RECEIVER MODULE AND AN END NODE (112) CONNECTED TO THE WIRELESS PULSE OXIMETER (110) AND THE METHOD COMPRISING STARTING LOCATION SERVER, CALCULATING COORDINATE OF X AND Y OF MOBILE NODE USING RSSI, MEASURING DISTANCE OF MOBILE NODES INCLUDING NEAREST MOBILE NODE, STORING ALL MEASUREMENT INTO A DATABASE (230) AND UPDATING THE DATABASE. THE MOST ILLUSTRATIVE DRAWING: FIGURE 2