The number of daily COVID-19 cases recorded in NSW has more than halved after the state announced 16 locally-acquired cases on Sunday.
Fourteen of the cases were linked to known infections. Two remain under investigation.
Only two cases were infectious in the community, the rest were in isolation or partial isolation.
No new cases acquired from overseas.
More than 45,000 tests were conducted in the reporting period, the 24 hours to 8pm Saturday.
Premier Gladys Berejiklian said the fall in case numbers, from 35 the day prior, was "pleasing" and the state was on track to come out of lockdown "in a timely way".
"Overnight, the cases are where we want them to be," she said.
"But they're still likely to bounce around.
"It only takes one or two people .... I'd ask everybody to please follow the rules.
"If people do the right thing, we have a chance of getting out of this in a timely manner.
"The next few days are absolutely critical."
The Premier said transmissions were mainly occurring within households.
Chief Health Officer Dr Kerry Chant said having to self-isolate and following stay-at-home orders were different things.
"For those who are close contacts ... isolation means removing yourself from all others .. unless you're an adult caring for a child. Not leaving your house unless you need urgent medical care," she said.
Health Minister Brad Hazzaard said if people not subject to self-isolation rules did have to go to another household to care for someone, they should avoid close contact.
He said "fresh-air environments" were the safest places to be "during this pandemic" and he encouraged staying outdoors, even at home, if you visit someone for caring reasons.
Dr Chant said three residents of a Baulkham Hills aged care home were among those to test positive.
A woman in her 80s, a man in his 80s and a man in his 90s.
All three had been vaccinated but have been transferred to hospital.
The Summit Care facility is in lockdown.
She also encouraged people from in and around Fairfield, Marrickville and Auburn to get tested.
