Triangulation of scattered points is the first important section during reverse engineering. New concepts of dynamic circle and closed point are put forward based on current basic method. These new concepts can narrow the extent which triangulation process should seek through and optimize the triangles during producing them. Updating the searching edges dynamically controls progress of triangulation. Intersection judgment between new triangle and produced triangles is changed into intersection judgment between new triangle and searching edges. Examples illustrate superiorities of this new algorithm.