Abstract: An all-optical nonlinear joint transform correlator has been implemented for the first time without using a spatial light modulator and digital processing in the Fourier plane. The correlator utilizes energy transfer from two-beam coupling in the Fourier plane. A compressional nonlinearity in the hard-clipped regime is implemented by pumping a weak plane wave with the intense joint spectrum of the reference and signal images. Operation of this device rivals or exceeds that of the phase-only filter for detecting objects in cluttered noise. Experimental results are compared with both plane wave and beam propagation simulations.