It has a rosette of between two and five linear to narrow lance-shaped leaves on side growth at the base of the flowering stem, each leaf 10–25 mm (0.4–1 in) long, 3–5 mm (0.1–0.2 in) wide and lying flat on the ground.

[2][3] Arthrochilus stenophyllus was first formally described in 1991 by David Jones from a specimen collected south of Cardwell.

[4] The specific epithet (stenophyllus) is derived from the Ancient Greek words stenos meaning "narrow"[5]: 546  and phyllon meaning "leaf",[5]: 466  referring to the narrow rosette leaves.

[3] The narrow-leaved elbow orchid grows with sedges and shrubs in sparse Melaleuca viridiflora woodland near Cardwell.

[2][3] As with other Arthrochilus orchids, A. stenophyllus is pollinated by male thynnid wasps of the genus Arthrothynnus although the species involved is not known.