Psychoanalysis brought psychoanalytic criticism in critical domain of literature thanks to the great contributions of Freud and Lacan. It is a form of Literary Criticism which uses some of the techniques of psychoanalysis in the interpretation of literature. Both Freud and Lacan are concern with the issues like identity growth sexuality and psychoanalysis as a therapy to them. Lacan added linguistic dimension to Freud’s insight and theories. For both, the unconscious is crucial and the thought process begins and ends with the conscious, unconscious, sub-conscious and even super-conscious. Freud’s theory of Consciousness centers around the ‘Id’, ‘Ego’, and ‘Super-Ego’ as the three psychic zones, they represent the pleasure principle, the reality principle and the morality principle. The Oedipus complex gives insight into the child-parent relationship. Dreams are important as signifier for the unconscious. Freud’s views of the unconscious transformed the psychoanalysis as a therapy because for him interpretation of the psychic zones, sexuality and dream brings new insight into the understanding of human psychic. On the other hand Lacan’s views are focused on the issues like ‘Lack’, ‘Desire’, ‘Otherness’. His thesis is based on Freudian unconsciousness but it concentrates on ‘rupture’ and rapture’. For Lacan the subject is seen as an eff3ect of language in that the ‘position’ and the ‘identity’ of the subject are constituted by language. According to him ‘Lack’ and ‘Gap’ introduce the operations of the subject in the ‘other’. ‘Desire’ for Lacan is result of ‘Demand’ and ‘need’; ‘need’, ‘demand’ and ‘desire’ are reinterpreted by Lacan in the context of identification of self-identity. To conclude, the psychoanalytic criticism focuses on ideas like ‘identity’, ‘desire’, ‘sexuality’, ‘the unconscious’ and ‘lack’, all of them are based on the frame work of the main ideas of Sigmund Freud and Jacques Lacan.