Island of strange traumas (7)
I believe the answer is:
sumatra
'island' is the definition.
(Sumatra is an example)
'strange traumas' is the wordplay.
'strange' is an anagram indicator.
'traumas' is an anagram of 'SUMATRA'.
'of' is the link.
(Other definitions for sumatra that I've seen before include "Eastern island" , "Large island of Indonesia" , "Some land" , "A US mart on an Indonesian island?" , "island in Indian ocean" .)