We present a new approach for object boundary extraction, called the watersnake. It is a two-step snake algorithm whose energy functional is minimized by the dynamic programming method. It is more robust to local minima because it finds the solution by searching the entire energy space. To reduce the complexity of the minimization process, the watershed transformation and a coarse-to-fine strategy are used. The new technique is compared to standard methods for accuracy in synthetic data and is applied to segmentation of white blood cells in bone marrow images.