Parker Canyon Lake is located in southeastern Arizona, 28 miles (45 km) southwest of Sierra Vista around the Huachuca Mountains and about 5 miles (8.0 km) north of the border with Mexico.

The lake is a reservoir formed by a dam in Parker Canyon in the south end of the Canelo Hills in southwestern Cochise County.

Parker Canyon is a tributary to the Santa Cruz River in the San Rafael Valley.

Parker Canyon Lake is stocked with rainbow trout once a month from October to March.

The lake was stocked with channel catfish which now hold a reproducing population.