The invention relates to a decorative picture knitting method and a knitted decorative picture. The decorative picture knitting method comprises the following steps that a plurality of yarns are provided, the yarns have at least two colors, at least two of the yarns are natural fiber yarns, and at least one of the yarns is a nylon fiber yarn; the yarns are arranged on a plurality of yarn nozzles of a computerized flat knitting machine, at most two yarns are arranged on each yarn nozzle, yarns on each yarn nozzle are the same in color, the natural fiber yarns and the nylon fiber yarns identical in color are arranged on the same yarn nozzle, and the natural fiber yarns are located on the nylon fiber yarns; a jacquard weaving stitching method is adopted by the computerized flat knitting machine to weave the yarns, so that the knitted decorative picture comprises a main body layer and at least one embossment layer, and the embossment layers and the main body are connected through weaving and located on different planes. The decorative picture knitting method is high in efficiency and avoids the problem that pigments are aged and fall off in a traditional printing imaging method.