The invention relates to an external traditional Chinese medicine composition for treating bone fracture. The external traditional Chinese medicine composition is prepared from the following raw materials and components of radix aconiti, radix aconiti kusnezoffii, semen strychni, artemisia rupestris herb, Chinese angelica, radix paeoniae rubra, radix gentianae macrophyllae, radix achyranthis bidentatae, cortex phellodendri, ramulus mori, kadsura pepper stem, semen persicae, safflower, herba lycopodii, herba speranskiae tuberculatae, olibanum, myrrha, herba taraxaci, eupolyphaga seu steleophaga, pangolin scales, natural copper, cortex albiziae and pine nodular branch. A preparation method comprises the following steps of cleaning the raw materials, crushing, adding water to decoct and extract, and collecting an extracted solution; concentrating the extracted solution, so as to obtain the traditional Chinese medicine composition. The external traditional Chinese medicine composition for treating the bone fracture has the advantages that the excellent effects of activating blood circulation and removing blood stasis, eliminating swelling and relieving pain, tonifying kidney and strengthening bone, reconnecting muscle and ligament, and clearing and activating the channels and collaterals are realized, thereby quickly treating the bone fracture; the safety is realized, and the toxic or side effect is avoided; the convenience in use is realized, the cost is lower, and the good commercial prospect is realized.