The invention discloses a traditional Chinese medicine composition used for treating atopic dermatitis. The traditional Chinese composition comprises the raw materials as follows: coptis chinensis, golden cypress, radix sophorae flavescentis, sanguisorba officinalis, pomegranate bark, fructus kochiae, astragalus membranaceus, white atractylodes rhizome, angelica sinensis, fleece-flower roots, radix paeoniae alba, ligusticum wallichii, schizonepeta, Chinese parsnip roots, uncaria rhynchophylla, liquorice, adenophora stricta, semen coicis, poria cocos, dried rehamnnia roots, roots of common peony, cortex lycii radicis, manyspiny knotweed herb, radix trichosanthis, scutellaria baicalensis, rhizoma anemarrhenae, radix ophiopogonis, dickinsia hydrocotyloides franch, pawpaws, roots of red-rooted salvia, caulis spatholobi, caltrop, Chinese mahonia, campsis grandiflora and senecio scandens. The traditional Chinese composition disclosed by the invention has effects of nourishing yin and clearing heat, and nourishing blood and moisturizing skin, and is positive in treatment effect of treating atopic dermatitis by applying a method of nourishing yin and clearing heat. Moreover, the traditional Chinese composition is simple in preparation process, slight in toxic and side effect and convenient to dose, and the preparation is easy to prepare a novel drug which is low in cost. Besides, the traditional Chinese composition disclosed by the invention can directly reach the focus of infection, is short in curing time and not easy to have a relapse after healing.