The name "Crouching Tiger Hidden Dragon" is a literal translation of the Chinese idiom "卧虎藏龙" (Wuo hu zhan long) which describes a place that is full of talented or extraordinary people who remain hidden and undiscovered, or simply means "talented or extraordinary people hidden from view". It is from a poem of the ancient Chinese poet Yu Xin (513-581) that reads "暗石疑藏虎，盘根似卧龙", meaning "behind the rock in the dark likely hides a tiger, and the coiling giant root resembles a crouching dragon."
The famous ancient strategist Zhuge Liang (181–234) had a nickname called 诸葛卧龙 (Zhu Ge Wo Long). Zhu Ge is the family name. Wo Long is Crouching Dragon. The story is that before he was invited to be the chancellor of Liu Bei, the Shu's king, Zhuge Liang was a hermit living in Longzhong as a regular farmer. But Liu heard his name and knew he got great talent and capability, so Liu visited him for three times hoping that he could be Liu's strategist. After refusing Liu twice, Liang came to be touched by Liu's caring for the people and his sincerity and accepted his invitation at the third time. Now you know why he was called 诸葛卧龙.
In the movie, the female protagonist Jen's nickname, Jiaolong, is "delicate dragon" in Chinese. And Lo's name, Xiaohu, means "little tiger". So the title means all the main characters (the talented and extraordinary) generally as well as Jen and Lo specifically.
