This study simulated the canopy reflectance of spring wheat at five distinct growth stages (jointing, booting, heading, flowering, and pustulation) and under four drought scenarios (no drought, mild drought, moderate drought, and severe drought) using the PROSAIL radiative transfer model, and it identified the wavelength range most sensitive to drought. Additionally, the efficacy of 5 mainstream satellites (Sentinel-2, Landsat 8, Worldview-2, MODIS, and GF-2) and 20 commonly utilized remote sensing vegetation indicators (NDVI, SAVI, EVI, ARVI, GVMI, LSWI, VSDI, NDGI, SWIRR, NDWI, PRI, NDII, MSI, WI, SRWI, DSWI, NDREI1, NDREI2, ZMI, and MTCI) in drought monitoring was evaluated. The results indicated that the spectral response characteristics of spring wheat canopy reflectance vary significantly across the growth stages. Notably, the wavelength ranges of 1405–1505 nm and 2140–2190 nm were identified as optimal for drought monitoring throughout the growth period. Considering only the spectral bands, MODIS band 7 was determined to be the most suitable satellite band for monitoring drought in spring wheat at different growth stages. Among the 20 indices examined, WI, MSI, and SRWI, followed by LSWI and GVMI calculated using MODIS bands 2 and 6 as well as bands 8 and 11 of Sentinel-2, demonstrated superior capabilities in differentiating drought scenarios. These conclusions have important implications because they provide valuable guidance for selecting remote sensing drought monitoring data and vegetation indices, and they present insights for future research on the design of new remote sensing indices for assisting drought monitoring and the configuration of remote sensing satellite sensors.