Rodeo lies in the southwestern corner of New Mexico on Highway 80 less than one mile from the Arizona boarder making it geographically the most western town in the state. Founded as a stop on the El Paso and Southwestern Railroad it became a center for cattle shipping in the San Simon Valley. Situated in the center of the San Simon Valley, Rodeo is the gateway to the east side of the Chiricahua Mountains and the Peloncillo Mountains to the west.