The theoretical requirement for inverse FFT is for the data to extend from zero frequency to infinity. Side lobes appear around a discontinuity because the spectrum is cut off at a finite frequency. Windowing reduces the side lobes by smoothing out the sharp transitions at the beginning and the end of the frequency sweep. As the side lobes are reduced, the main lobe widens, thereby reducing the resolution.
In situations where a small discontinuity may be close to a large one, side lobe reduction windowing helps to reveal the discrete discontinuities. If distance resolution is critical, then reduce the windowing for greater signal resolution.
If strongly interfering frequency components are present, but are distant from the frequency of interest, then use a windowing format with higher side lobes, such as Rectangular Windowing or Nominal Side Lobe Windowing.
If strong interfering signals are present and are near the frequency of interest, then use a windowing format with lower side lobes, such as Low Side Lobe Windowing or Minimum Side Lobe Windowing.
If two or more signals are very near to each other, then spectral resolution is important. In this case, use Rectangular Windowing for the sharpest main lobe (the best resolution).
If the amplitude accuracy of a single frequency component is more important than the exact location of the component in a given frequency bin, then choose a windowing format with a wide main lobe.
When examining a single frequency, if the amplitude accuracy is more important than the exact frequency, then use Low Side Lobe Windowing or Minimum Side Lobe Windowing.