Coalescing compact binary systems are important sources of gravitational waves. Here we investigate the detectability of this gravitational radiation by the recently proposed laser interferometers. The spectral density of noise for various practicable configurations of the detector is also reviewed. This includes laser interferometers with delay lines and Fabry-Prot cavities in the arms, both in standard and dual recycling arrangements. The sensitivity of the detector in all those configurations is presented graphically and the signal-to-noise ratio is calculated numerically. For all configurations we find values of the detector's parameters which maximize the detectability of coalescing binaries, the discussion comprising Newtonian- as well as post-Newtonian-order effects. Contour plots of the signal-to-noise ratio are also presented in certain parameter domains which illustrate the interferometer's response to coalescing binary signals.