Wales will seek to avoid a series whitewash in Saturday's final encounter in Sydney.
The Grand Slam champions got back to work after a two-day break in the wake of their agonising 25-23 defeat in Melbourne, which followed a 27-19 loss in the first Test in Brisbane, and the Cardiff Blues forward said the rest had done the squad a power of good.
"The worst thing we could have done is try to train the next day. It was nice to have a break, get out together as a group and refresh ourselves," Davies said.
A trip to the zoo and the British Consulate was followed on Wednesday night by a visit to the Lady Gaga concert.
Davies is now hoping everyone will be on song as Wales go in search of that elusive first win over the Wallabies in Australia since 1969.
"It was a massive disappointment last weekend and everyone was devastated. But we had a really good session on Tuesday and it is important we get ready for the third Test in Sydney," the 25-year-old said.
"We are an honest group and we are used to having some tough analysis sessions after a game. We know that if we've done something wrong it is going to be highlighted and I've been in that situation before - getting rollickings after games and getting bans.
"It is how you learn and adapt from that that matters and as a squad we are getting really closer. It is only by taking it on the chin that you improve as players.
"We thought the penalty at the driving line-out was a bit harsh. We didn't think they were going to score because not many teams score from driving line-outs against us.
"As a pack, we pride ourselves on not getting bullied in that way. They got a bit of a drive on and then we peeled off and the referee interpreted it as a pull down.
"We were disappointed in that because they were just about to peel off and try the pick and go. It was a terrible feeling.
"With 30 seconds left I thought we had it, but then we did a long kick and gave away a penalty. The rest is history - it is difficult to take as a player having been involved in that.
"Now we want to go out on Saturday and finish on a high. We need to do that - we need to take something away from this tour and it is important to finish with a victory."
Wales are due to announce their team for the third Test at 1400 local time on Thursday (0500 BST). Scarlets back-row man Aaron Shingler is out of contention after being sent home after sustaining a dead leg in the midweek win over the Brumbies.
He is the second player to go home, following Dragons wing Aled Brew, who was also injured in the game in Canberra.
Gilbert has released a new line of rugby cleats. The Gilbert Virtuo 8S is part of the exciting new product. Check it out.
The entire All Blacks apparel line has been updated for 2013/14. Check out the New Zealand All Blacks polo.
The Nike Tiempo is a solid rugby cleat and one of few styles still made from full-grain natural leather.
The Gilbert Blitz 8S rugby cleat is a great cleat at a great price of $69.99. Get a new pair of cleats today.
A cool looking all black rugby cleat with the high performance adidas is known for. Get in the Gear!
Wear the crest of the British and Irish Lions on your t-shirt. A great look for the summer.
The All Blacks Performance t-shirt is black with hints of blue from the training jersey. Very Cool.
The New Zealand All Blacks training jersey for 2013/14. Get in the Gear!
The USA Rugby Pro Alternate rugby jersey is perfect for any fan of the Eagles. Get yours to wear during the summer Test matches.
The NEW All Blacks 2013/14 jersey has arrived at World Rugby Shop. Dare to wear the colors of the All Blacks.