The invention discloses oral liquid for inhibiting and eliminating toxoplasma gondii and toxoplasma gondii cysts and a preparation method of the oral liquid. The oral liquid comprises, by weight, 2-4parts of Chinese wolfberries, 12-16 parts of smoked plums, 15-20 parts of the root of Indian pokeweed, 50-60 parts of herba artemisiae annuae, 10-15 parts of dandelions, 4-7 parts of rhizoma polygonati, 4-6 parts of radix bupleuri, 8-10 parts of white poria, 2-4 parts of cyrtomium fortunei, 3-5 parts of bletilla striata, 3-5 parts of branchlets and leaves of antifebrile di-chroa, 4-6 parts of fructus ulmi, 6-10 parts of frankincense, 6-8 parts of the root bark of white mulberry, 1-3 parts of white atractylodes rhizomes and 300-500 parts of purified water. The preparation method includes the following steps: extracting active ingredients of the raw materials and uniformly mixing the active ingredients with the purified water. The oral liquid can inhibit the breeding and activity of the toxoplasma gondii in human cells after being continuously taken, thereby preventing the infection of the toxoplasma gondii, treating toxoplasmosis, and expelling the cysts and pseudocysts of the toxoplasma gondii.