Bathing the neonates is one of nursing practices in the neonatal intensive care units that increase manipulation and has an impact on the physiological and behavioural parameters. Aim: Evaluate the effect of swaddle bathing versus traditional bathing on physiological stability and comfort level among neonates. Research design: Quasi experimental research design was utilized in the present study. Sample: The study sample consisted of all available healthy full-term neonates include (90 neonates)45 for the swaddle and 45 for traditional bathing groups. Setting: The study was conducted in the neonatal intensive care unit (NICU), at Minia University Hospital for Obstetrics and Paediatrics (MUHOP). Tools: Three tools were used; Tool I: Structured interview questionnaire sheet which was consisted of demographic characteristics of the neonates, Tool II: Physiological parameters recording sheet and Tool III: COMFORT neo scale. Results: The total mean score of discomfort was decreased in the swaddle versus traditional bathing group with a highly statistically significant differences at 10 minutes after bathing. There was stability in the mean score of body temperature in the swaddle versus traditional bathing group while there was an increase in the mean scores of heart rate and respiratory rate for traditional versus swaddle bathing group after bathing with statistically significant differences. Conclusion. Applying swaddle bathing technique is an effective method for improving physiological parameters and decreasing discomfort level for the neonates in NICU. Recommendation: Training program should be conducted in the neonatal intensive care units for nurses about swaddle bathing techniques.