The Australian dollar edged up to $0.8185, from an early $0.8127 low but remained short of a one-month peak of $0.8254 hit on Monday. Hourly resistance was found at $0.8205 with support at the 20-day moving average of $0.8136.
The Aussie touched a six-year trough of $0.8033 last week, hit by slumping commodity prices and worries about slowing global growth.
Aiding the Aussie was better-than-expected trade figures out of China, Australia's top export market. Despite talk of slowing demand, China bought a record volume of iron ore - Australia's single biggest earner.
Elias Haddad, a senior currency strategist at Commonwealth Bank of Australia, sees a possible short-term move towards $0.8350-$0.8400 should a local jobs report due out Thursday surprise on the upside. Forecasts are for a slight rise in employment after a strong increase in November.
The Aussie held hefty gains versus the euro, which dipped to A$1.4477, not far from a seven-week low of A$1.4360 set on Monday.
The euro has come under pressure on expectations the European Central Bank (ECB) will announce bolder stimulus measures next week to shore up the eurozone economy.
The New Zealand dollar was steady at $0.7782, having touched a one-month high of $0.7866 on Monday. It was unable to hold gains above $0.7800, a level which has largely capped the currency's upside during the past month.
One risk for the kiwi is that slumping oil prices will see annual inflation slow below the Reserve Bank of New Zealand's 1-3 percent target range. Fourth quarter inflation data will be released on Jan. 20.
Consistently low inflation may prompt the central bank to keep rates on hold at 3.5 percent beyond the third quarter, when most economists had expected a rise to 3.75 percent.
The kiwi has also been undercut in recent months by a sharp slide in prices of dairy, the nation's biggest export earner.
New Zealand government bonds extended gains, pushing the benchmark 10-year yield down to 3.585 percent and near its lowest since May 2013.
Australian government bond futures rose, with the three-year bond contract up 3 ticks at 97.930.
The 10-year contract added 7.5 ticks to 97.4300, pulling closer to a record peak of 97.4650 set last week.