England will enter the final day of the second Ashes Test requiring 178 runs from six wickets to level the series 1-1.
The hosts resumed action on day four on 53-4, but dangerous bowling from James Anderson - securing his first five-wicket haul in Australia at the expense of 43 runs - and Chris Woakes saw the Aussies all out for 138.
England began their second innings with a heady target of 354, which should they succeed would represent their highest ever Test chase in the fourth innings.
Alastair Cook (16) and Mark Stoneman (36) got the visitors underway to be dismissed by Nathan Lyon and Mitchell Starc respectively, the latter also seeing off James Vince (15). Dawid Malan was the final England casualty of the day, seen off after contributing 29 runs.
Joe Root (67*) and Woakes (5*) will return to the crease when the final day gets underway at the Adelaide Oval.