Abstract: Soil-vegetation-atmosphere continuum (SPAC) is one of the important research objects in the field of terrestrial hydrology, ecology and global change. The process of water and carbon cycling, and their coupling mechanism are frontier issues. With characteristics of tracing, integration and indication, stable isotope techniques contribute to the estimation of the relationship between carbon sequestration and water consumption in ecosystems. In this review, based on a brief introduction of stable isotope principles and techniques, the applications of stable isotope techniques to water and carbon exchange in SPAC using optical stable isotope techniques were mainly explained, including: partitioning of net carbon exchange into photosynthesis and respiration; partitioning of evapotranspiration into transpiration and evaporation; coupling of water and carbon cycle at the ecosystem scale. Advanced techniques and methods provided long-term and high frequency measurements for isotope signals at the ecosystem scale, but the issues about the precision and accuracy for measurements, partitioning of ecosystem respiration, adaptability for models under non-steady state, scaling up, coupling mechanism of water and carbon cycles, were challenging. The main existing research findings, limitations and future research prospects were discussed, which might help new research and technology development in the field of stable isotope ecology.