The invention discloses a method and device for measurement of nanometer resolution total reflection differential micrometric displacement. The device comprises a laser device, a single-mode fiber, a collimating lens, a polarizing beam splitter, a lambda/4 wave plate, a micro objective, a detected target lens, a rhombic prism, a convex lens, a differential detector and a driving and display unit. The method comprises steps as follows: after being filtered, collimated and split by polarization, laser sequentially passes through a fast axis and the lambda/4 wave plate and micro objective to reach the detected target lens, wherein the included angle between the lambda/4 wave plate and micro objective and the polarization direction of vertical incidence light beam is 45 degrees; after being reversed, the laser passes through the micro objective and lambda/4 wave plate, and then vertically enters the polarizing beam splitter again; then, the laser enters the rhombic prism, is subjected to total reflection in the rhombic prism, and exits; and finally, after being collected, the laser enters the differential detector for processing, thus obtaining a signal for reflecting the position change of the detected target lens, and displaying the position change of the detected target lens. The invention can be used for detecting the manometer resolution and can be widely applied to the industrial precision measurement and monitoring fields.