In order to remove high-concentration emulsified oil from wastewater, a chitosan-based magnetic flocculant, denoted as FS@CTS-P(AM-DMC), was employed in this present study. The effects of factors including the magnetic flocculant dose, pH values, and coexisting ions were investigated. A comparative dosing mode with the assistance of polyacrylamide (PAM) was also included. The evolution of floc size was studied using microscopic observation to investigate the properties of flocs under different pH values and dosing modes. Particle image velocimetry (PIV) and extended Deryaguin–Landau–Verwey–Overbeek models were utilized to illustrate the distribution and velocity magnitude of the particle flow fields and to delve into the mechanism of magnetic flocculation. The results showed that FS@CTS-P(AM-DMC) achieved values of 96.4 and 74.5% for both turbidity and COD removal for 3000 mg/L of simulated emulsified oil. In the presence of PAM, the turbidity and COD removal reached 95.7 and 71.6%. In addition, FS@CTS-P(AM-DMC) demonstrated remarkable recycling and reusability performances, maintaining effective removal after eight cycles. The strength and recovery factors of magnetic flocs without PAM reached 69.3 and 76.8%, respectively. However, with the addition of PAM, they decreased to 46.73 and 51.47%, respectively. During the magnetophoretic processes, FS@CTS-P(AM-DMC) and oil droplets continuously collided and aggregated, forming three-dimensional network aggregates. Moreover, the magnetic floc generated a swirling motion, and the residual emulsified oil droplets could be further captured. Emulsified oil droplets were primarily removed through charge neutralization under acidic conditions. Under neutral and alkaline conditions, magnetic interactions played a major role in magnetic flocculation.