Horseshoe canyon is located 17 km trip west of Drumheller on highway 9. These badlands are seen on a sunny morning from the south viewpoint at the far south end of the canyon.
The canyon looks like a horseshoe from the air, with the top being closed off by the Kneehills creek valley and the bottom being this badland basin in the south. So this formation forms a complete irregular circle. Try finding it by using Google maps.