Artifact elimination has become an inseparable part while processing electroencephalogram (EEG) in most brain computer interface (BCI) applications. Scientists have tried to introduce effective and efficient methods which can remove artifacts and also reserve desire information pertaining to brain activity. Blind source separation (BSS) methods have been receiving a great deal of attention in recent decades since they are considered routine and standard signal processing tools and are commonly used to eliminate artifacts and noise. Most studies, mainly EEG-related ones, apply BSS methods in preprocessing sections to achieve better results. On the other hand, BSS methods should be followed by a classifier in order to identify artifactual sources and remove them in next steps. Therefore, artifact identification is always a challenging problem while employing BSS methods. Additionally, removing all detected artifactual components leads to loss of information since some desire information related to neural activity leaks to these sources. So, an approach should be employed to suppress the artifacts and reserve neural activity. In this study, a new hybrid method is proposed to automatically separate and identify electroencephalogram (EEG) sources with the aim of classifying and removing artifacts. Automated source identification is still a challenge. Researchers have always made efforts to propose precise, fast and automated source verification methods. Reliable source identification has always been of great importance. This paper addresses blind source separation based on second order blind identification (SOBI) as it is reportedly one of the most effective methods in EEG source separation problems. Then a new method for source verification is introduced which takes advantage of components phase spaces and their dynamics. A new state space called angle space (AS) is introduced and features are extracted based on the angle plot (AP) and Poincare planes. Identified artifactual sources are eliminated using stationary wavelet transform (SWT). Simulated, semi-simulated and real EEG signals are employed to evaluate the proposed method. Different simulations are performed and performance indices are reported. Results show that the proposed method outperforms most recent studies in this subject.