Hi Ramesh,
Thank you for posting here!
Web Application Proxy can be run on Windows Azure VMs, but there are no recommended scenarios for running it on Windows Azure VMs.
Azure has a software load balancer as the entry point to your Azure VMs from internet-facing clients. If you would like a reverse proxy in front of your services, you would need to have a separate VM created to host the proxy.
You can also use Application Request Routing (ARR) to achieve this.
Refer to -
http://stackoverflow.com/questions/6200222/how-do-i-create-a-reverse-proxy-that-runs-in-azure
I hope this helps!
Best Regards
Sadiqh Ahmed
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