SummaryPrecise simulation of the propagation of surface water waves, especially when involving breaking wave, takes a significant place in computational fluid dynamics. Because of the strong nonlinear properties, the treatment of large surface deformation of free surface flow has always been a challenging work in the development of numerical models. In this paper, the moving particle semi‐implicit (MPS) method, an entirely Lagrangian method, is modified to simulate wave motion in a 2‐D numerical wave flume preferably. In terms of consecutive pressure distribution, a new and simple free surface detection criterion is proposed to enhance the free surface recognition in the MPS method. In addition, a revised gradient model is deduced to diminish the effect of nonuniform particle distribution and then to reduce the numerical wave attenuation occurring in the original MPS model. The applicability and stability of the improved MPS method are firstly demonstrated by the calculation of hydrostatic problem. It is revealed that these modifications are effective to suppress the pressure oscillation, weaken the local particle clustering, and boost the stability of numerical algorithm. It is then applied to investigate the propagation of progressive waves on a flat bed and the wave breaking on a mild slope. Comparisons with the analytical solutions and experimental results indicate that the improved MPS model can give better results about the profiles and heights of surface waves in contrast with the previous MPS models. Copyright © 2017 John Wiley & Sons, Ltd.