The characters literally combine to mean: “to understand (了) as if (如) pointing at (指) one's palm (掌).” The imagery is of someone explaining something so complex by simply gesturing to their palm, indicating how obvious and clear it is to them.
This idiom has ancient roots, appearing in the *Analects of Confucius* (《论语》). In one passage, it's used to describe how a ruler who truly understands governance could manage the world as easily as looking at his own palm. This reflects the high value Chinese culture places on deep, thorough mastery, not just superficial knowledge. Comparison to Western Culture: The closest English equivalent is “to know something like the back of one's hand.” Both idioms express deep familiarity. However, there's a subtle difference in imagery.
While functionally similar, the Chinese idiom carries a slightly stronger connotation of intellectual clarity and seeing the complete picture.
了如指掌 is a well-known idiom that is appropriate in both formal writing and educated conversation. It is used to express admiration for someone's expertise.
Its connotation is overwhelmingly positive, signifying respect for someone's profound knowledge. It is not used ironically.