Clunes is about 150 km north-west of Melbourne. The town grew up after gold was discovered in 1850, but declined rapidly as the diggings became exhausted. The town centre is almost unaltered since those days and is a "must see" for anyone interested in Australian history.
The most direct route from Melbourne is via the Western Highway, following signs to Creswick shortly before reaching Ballarat. Continue through the Creswick town centre (Creswick's botanic garden and excellent museum are also worth visiting); stay on this road all the way to Clunes. While in Clunes, make sure that you visit the museum.