The largest lake on Pico Island is called Caiado and like all the others it fills a former volcanic crater.

Lagao do Caiado offers breathtaking views in good weather, as it lies just off a fault in the terrain where the central mountain range drops steeply towards the sea to the north.

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So from the lookout point just off the road, you can see the lagoon in the foreground and the distant island of São Jorge in the background.

Lagao do Caiado is also a popular spot for watching sunrises, especially in summer when the sun rises further north and is therefore aligned with the lake when viewed from the road.

The viewpoint of Lagoa do Caiado is very accessible and is located directly on the central road "Estrada Transversal".