According to the biblical books of Exodus and Numbers, the early Israelites suffered recurrent plagues and other events which comprise significant collective trauma coinciding with their physical and spiritual birth as a people. These ancient narratives reflect a fledgling people's coping with high levels of transitional stress, multiple crises, and significant losses attendant upon slavery and genocide. Inspection of the text also reveals signs of collective post-traumatic reactions among the Israelites. Relevant psychological perspectives on stress, loss, and trauma can therefore usefully illuminate specific biblical events. Trauma may well be implicated in the etiology of certain stringent biblical commandments, including “the ban” and related severe restrictions against Israelite intermarriage. The Bible may also contain insights bearing upon social action aimed at preventing or coping with epidemics and for overcoming psychological trauma, of relevance to a modern positive community psychology.