Dos Aguas is located in the central-western area of the province of Valencia, on the River Jucar.
The municipality is completely mountainous, with the Sierra del Ave range to the north, which also takes the name of the municipality. Its highest summits are the geodesic apexes of third order of “El Ave” (949 metres) and “El Carcamal” (834 m). To the southeast lies the Sierra del Carballón range, which includes the second-level geodesic point of “Colaita” (872 m). The geodesic points of “El Pulpítico (610 m), which lies on the border with Yátova, and “El Madroñal” (582 m) also lie within the municipality. A long stretch of the River Júcar serves as a border with the municipalities of Catadau, Tous, Millares and Cortes de Pallas. The river is canalized along the majority of its winding route. The River Júcar is fed by the ravines of “Fleirón”, “La Murta”, “La Fuentecilla”, “El Bosque”, “La rambla de la Canal”, which at a later point receives the name of “El Jalón” ravine, and “El Cazador”. The ravines “Cairón”, “Garrogueras”, “Perelló”, “el Purgatorio”, “Cal”, “Golondrinas”, among others, flow into the “El Magro” basin. There are a great number of forests in the municipality, most of which are populated with pines and other conifers.