VOF (volume of fluid) method has been used to make the numerical simulation of freak wave come true. The comparisons between the numerical results and linear theoretical results corresponding to Eq.(5) have been carried out to show that the numerical results have a better exhibition of nonlinear characteristics. Wavelet analysis method has been adopted to investigate the time-frequency energy spectrum of simulation freak waves and the results reveal strong nonlinear interaction enables energy to be transferred to high harmonics during the progress of its formation. Varying water depth can enhance the nonlinear interaction, making much more energy be transferred to high harmonics and freak waves with higher asymmetry be generated.