Portugal has a strongly Catholic population, so many of the most celebrated festivals in Obidos are religious holidays. One of the most important events in the city is the feast day of the Virgin Mary on January 11, which is a municipal holiday. Other days that are very important on the local calendar are February 2, the Festa da Nossa Senhora da Graça, also dedicated to the Virgin Mary. Other saint feast days widely celebrated in Obidos include the Festa de Santa Cruz, on May 3 of every year, and the Festa de Santa Iria on October 20.

If you are in the area at the right time of year, it is also worthwhile to check out the Palm Sunday procession that goes down the streets of Obidos. Unusually, this joyous holiday is observed by the city’s natives with a strange tone of somberness, as the parade is led by a gloomy masked figure representing penitence.

A slightly more festive event in Obidos is the annual medieval fair, which usually takes place in mid-July, which is prime tourist season. The fair lasts about a week and a half and takes place all across the small town. Historic courtyards and streets are lined with market vendors selling medieval crafts and souvenirs from stalls. There is also medieval-style food available for sale. Entertainers and actors put on shows and skits to keep the public amused as they browse through the goods.