Formosan landlocked salmon is an endangered species and is very sensitive to stream temperature change. This study attempts to improve a former stream temperature model (STM) which was developed for the salmon's habitat to simulate stream temperature more realistically. Two modules, solar radiation modification (SRM) and surface/subsurface runoff mixing (RM), were incorporated to overcome the limitation of STM designed only for clear-sky conditions. It was found that daily temperature difference is related to cloud cover and can be used to adjust the effects of cloud cover on incident solar radiation to the ground level. The modified model (STM + SRM) improved the simulation during a baseflow period in both winter and summer with the Nash-Sutcliffe efficiency coefficient improved from 0.37 (by STM only) to 0.71 for the winter and from -0.18 to 0.70 for the summer. On the days with surface/subsurface runoff, the incorporation of the two new modules together (STM + SRM + RM) improved the Nash-Sutcliffe efficiency coefficient from 0.00 to 0.65 and from 0.29 to 0.83 in the winter and the summer, respectively. Meanwhile, the contributions of major thermal sources to stream temperature changes were identified. Groundwater is a major controlling factor for regulating seasonal changes of stream temperature while solar radiation is the primary factor controlling daily stream temperature variations. This study advanced our understanding on short-term stream temperature variation, which could be useful for the authorities to restore the salmon's habitat.