The Taoist culture in traditional Chinese culture is rich in ideas of Psychological transformation ability, which are of practical value to the cultivation and enhancement of Psychological transformation ability of contemporary people. The Psychological transformation ability in Taoist culture are mainly manifested as follows: The blessing and the disaster Depend on each other, Yin and Yang are the same, Live to die, Success and harmony are unified. Its psychological mechanism is: changing negative cognition into positive cognition, changing negative mentality into positive mentality, changing negative psychological traits into positive psychological traits. These Huagong’s ideas are of positive significance to people today in resolving difficulties and frustrations and cultivating positive psychological qualities. Therefore, the study of Taoist Huagong’s ideas is of great practical value in resolving or relieving difficulties and psychological distress.