Luxor Known as the open-air museum of Egypt, Luxor contains 1 of the monuments in the world. The Pharaonic identity highly influenced the city. The city, practically, is located surrounded by temples. For instance, Karnak temple and Luxor temple in the East of the city, and The Valley of the Kings and Queens, and many more, in the West side. Luxor used to be the Capital of Ancient Egypt and used to be called Waset, which means the City of Sceptre. The city is located right along the Nile River. The beauty of the Nile is mixed with the view of the Ancient Egyptians ruins wherever you go.