The Dusky-headed Parakeet is found in the western Amazon Basin in Colombia, Peru, Bolivia and Brazil. It is mainly associated with várzea forest and tall trees in swamps but is also seen in cleared areas and coffee and sugar-cane plantations.

It feeds on palm fruits and flowers as well as insects. The nest is a cavity in a tree or in an arboreal termite nest. The third photo possibly shows a nest behind some peeling bark