Taking the water-rich sand and pebble geology deep foundation pit of Jinfu Station of Chengdu Metro Line 6 as the research object, combined with the ladder excavation method of slotting, utilizing finite difference software FLAC 3D as well as on-site monitoring result, the deformation law of the diaphragm wall during the dynamic excavation of the foundation pit is analysed, and the influence of the relative stiffness between the vertical and horizontal walls of the foundation pit on the lateral deformation of the retaining structure is discussed. The results show that while using the ladder excavation method of slotting, the maximum lateral displacement of the underground diaphragm walls decreases gradually with the excavation depth of the foundation pit, which occurs at the intersection of the middle point of the oblique excavation line and the step distance section of the transverse excavation. Additionally, the lateral displacement increases closer to the excavation section. The lateral displacement of the envelope enclosure mainly depends on the relative constraint stiffness of the vertical and horizontal underground diaphragm wall of the foundation pit. The use of the ladder layered excavation method of slotting can effectively reduce the lateral displacement of the underground diaphragm wall. The simulated result and on-site monitoring result are nearly the same. These results can provide a corresponding theory and engineering basis for the selection of excavation methods for the same type of sand and pebble stratum foundation pit.