Water is a fundamental resource and, as such, the object of multiple environmental policies requiring systematic monitoring of its quality as a main management component. Automatic sensors, allowing for continuous monitoring of various water quality variables at high temporal resolution, offer new opportunities for enhancement of essential water quality data. This study investigates the potential of sensor-measured data to improve understanding and management of water quality at watershed level. Self-organizing data maps, non-linear canonical correlation analysis, and linear regressions are used to assess the relationships between multiple water quality and hydroclimatic variables for the case study of Lake Mälaren in Sweden, and its total catchment and various watersheds. The results indicate water discharge from dominant watersheds into a lake, and lake water temperature as possible proxies for some key water quality variables in the lake, such as blue-green algae; the latter is, in turn, identified as a potential good proxy for lake concentration of total nitrogen. The relationships between water discharges into the lake and lake water quality dynamics identify the dominant contributing watersheds for different water quality variables. Seasonality also plays an important role in determining some possible proxy relationships and their usefulness for different parts of the year.Sustainability 2020, 12, 396 2 of 15 possible pollutants into Lake Mälaren (Figure 1), the third-largest lake in Sweden and the main water supply for 1.7 million people living in and around the Swedish capital Stockholm [6]. algae (BGA, ug/L). In addition, using measured Tw and EC values, water salinity was calculated in terms of the concentration of total dissolved solids (TDS, mg/L). In order to explore the relationships between these sensor variables and a basic set of independently measured (i) hydroclimatic variables, and (ii) additional (nutrient-related) water quality variables of main water resource management importance in the region, we also examined data on (i) water discharge (Q, m 3 /s) into Lake Mälaren from its whole catchment and individual watersheds within it (Figure 1), air temperature (Ta, °C) and precipitation (P, mm/day) over the catchment and individual watersheds, and (ii) concentrations of waterborne total nitrogen (TN, ug/L) and total phosphorus (TP, ug/L) measured at the Lake Mälaren outlet (green circle, Figure 1).