Anisotropic hydrogels were produced, by magnetic alignment of magnetically sensitized nanoclays followed by polymerization of the hydrogel to freeze the developed oriented structure. The anisotropy in these hydrogels was quantitatively investigated using birefringence and 2D Small Angle X-ray Scattering (SAXS) techniques. The oriented nanoclays being intrinsically birefringent provided the optical anisotropy to the hydrogel and this orientation increased with the increase of the applied magnetic field strength. Moreover, 2D SAXS patterns also confirmed that the nanoclays were oriented parallel to the magnetic field in a hydrogel with an orientation order parameter of up to 0.67. The field-induced birefringence and 2D SAXS orientation results exhibited a linear correlation magnetic field strength in the 0 to 9 Tesla (T) range. The resultant anisotropic hydrogels exhibited substantial swelling anisotropy making them suitable for wound dressings where the out of plane swelling is substantially higher than in-plane swelling to minimize in-plane stress damage to the wounds during healing.