Steven Finn clean bowled Mitchell Marsh to leave Australia on 92-5, still 53 behind England.
The Middlesex paceman now has four wickets in the second innings, making it an impressive return to Test cricket after a two-year absence.
England took a lead 85 into lunch thanks to some good batting from Joe Root, but Australia will feel they had the better of the morning session.
Mitchell Johnson got two wickets early on, while Mitchell Starc and Nathan Lyon took one apiece.
Moeen Ali and Stuart Broad were the two not out batsmen for the hosts, as they reached 221-7.
Mitchell Johnson earned the wickets of Jonny Bairstow and Ben Stokes early on day two.
The Australian bowled two superb bouncers, which the Englishmen found unplayable.
Joe Root made 63 before Mitchell Starc had him caught at first slip by Adam Voges.
Following their departure from the crease, Root and Jos Buttler dug in to progress the innings to 182-6.
Aston Villla are in talks with Blackburn over the sale of French striker Rudy Gestede.
The forward has been linked with a move to Villa Park and negotiations are on-going between the clubs.
Emmanuel Adebayor remains in talks with Aston Villa and the club could also snap up Jordan Veretout by the end of the week.
Togo international Adebayor is close to joining Villa on loan from Tottenham but talks are on-going between the two clubs.
The striker has reportedly had a medical and a deal could be struck within the next 24 hours.
The 31-year-old would be a direct replacement for Christian Benteke, who joined Liverpool for £32.5million earlier this month.
Adebayor is believed to have visited the club's Bodymoor Heath training ground on Tuesday and talks were ongoing away from the complex on Wednesday.
Nantes midfielder Veretout is also a target and could become the third player from Ligue 1 to join Villa by the end of the week.
England took control of the Third Test at Edgbaston by dismissing Australia for just 136 in less than 37 overs on day one.
Jimmy Anderson picked up six wickets, as the tourists struggled with the Lancastrian's swing.
Only Chris Rogers came out of the innings with any credit with the bat, hitting 52 before being trapped LBW by Stuart Broad.
Jimmy Anderson removed Adam Voges, Mitchell Marsh and Peter Nevill in quick succession to leave Australia on 86-6 on day one in Birmingham.
Nevill was Anderson's fourth wicket when the Lancastrian struck his off-stump after the Australian left the ball.
Jimmy Anderson has five wickets to his name, leaving Australia on 99-7 when rain stopped play just before 3pm.
England need just one more wicket to win the opening Ashes test after Joe Root had Mitchell Johnson caught by Adam Lyth at first slip for 74.
England close on a good first innings lead, as Stuart Broad saw Mitchell Johnson clip one straight to Gary Ballance at mid-wicket.
Australia find themselves 124 behind with just one wicket left.