Speaking for auto trannies in general, and not being sure the Avalon's tranny has a removable pan (I assume it does), I can only offer this with a grain of salt: what I do is drain the tranny, then pull the pan and strainer (usually a filter type assembly secured by three or four long 10mm bolts. This is the case in the wife's 2000 Celica GT-S and my '88 Land Cruiser) and let the whole thing drip into the catch pan overnight. The next day I install the new strainer (or clean and reinstall it if it's a steel mesh type, like what's in my old Cruiser), clean the pan good, inspect and clean the magnets, reinstall the magnets in the pan, reinstall the pan with a new gasket, reinstall the drain plug (again with a new gasket), refill with however much ATF is recommended, and be sure to check the fluid level for the next few days and top off as necessary. Check it with the engine/tranny hot, with the engine running and in Park.
For fluid type, check the owner's manual for recommended spec, though my money's on it being Dexron III. That seems to be the preferred type for Toyota's trannies. I'm personally a big fan of Royal Purple "Max ATF" ( a very good synthetic), and if you can't get that locally, Mobil 1 synthetic ATF. I will absolutely not use a non-synthetic oil, ATF or grease anymore in any of my vehicles.
I drop the pan and everything mainly because checking the magnets is a great indicator of any abnormal wear. A light gray film on them is normal, but any shavings or metal splinters on them, or small bits of clutch material in the pan and/or strainer means you've got a problem that's causing excessive wear or even damage.
I do all this about every 50K miles, give or take a few. It may be a bit obsessive, but I'm anal about carefully maintaining my vehicles. There's a reason my Cruiser has 300K miles and still full "factory new" compression in all six cylinders, and almost zero wear on the transmission