In the source localization using single dipole model, the influence of the number of electrodes, the position and direction of a single dipole on the relation between S/W ratio and dipole parameter estimation errors is important. Monte Carlo simulation was used to investigate this influence. The forward problem was calculated using three spherical shell model, and dipole parameters were optimized by means of simplex method. As the number of electrodes became large, as the dipole went from midbrain to cortex, and as the direction of dipole changed from radial to tangential, the average and standard deviation of estimation errors became small.