Here, a new winding is proposed for 5-X variable reluctance resolver. In the proposed winding method, all the stator teeth are devoted to the signal windings and a peripheral slot is added to the stator core including two excitation coils. The performance of the resolver is discussed using the proposed winding and all previous winding methods. It is shown the position error of the resolver is less than that of the previously proposed methods and it can offer much simpler manufacturing process and consequently lower cost. All the analyses are performed using three-dimensional time stepping finite element method and finally, a prototype of the resolver is built and tested. The comparison between simulation and test results verifies the success of the proposed winding method.