Shock waves in highway traffic define the boundary conditions between different traffic states. Understanding of formation and propagation of shock waves is helpful for analyzing the features of traffic congestion and its consequences; moreover, for developing novel highway traffic operation techniques and management strategies. Formation and propagation of shock waves were analyzed with wavelet transform technique using two different sets of data, namely macroscopic (mean flow speeds) and microscopic (vehicle trajectories). Estimated propagation speeds of shockwaves in this study are consistent with those reported in the literature. Shockwave speeds could be used to calibrate the fundamental diagram of a traffic stream and also to estimate flow speeds (journey times) over a highway stretch.