Mitchell Marsh highlighted why he will be difficult to drop despite another failure with the bat after twin collapses by Australia and New Zealand have the historic day-night Test destined to finish inside three days.

The positions of both Marsh brothers in the Australian XI had been under increasing scrutiny but Mitchell made amends with the ball on a day when the match moved at a frenetic tempo.

After feasting on a flat track in Perth, both teams have crumbled in alarming fashion on a lively Adelaide pitch which has offered swing for the quicks and turn for the spinners.

The Black Caps, after dismissing Australia for 224, will resume on the third day on 5/116, a lead of 94. Should the match trend of ball dominating bat continue the match is poised for a grandstand finish in Sunday prime time.

This has not been the easiest pitch to bat on but it is no excuse for both sides' failure to produce the goods with the bat. It has also highlighted the weaknesses of the modern-day batsman, particularly against the swinging ball.

The home side can thank a fighting 66 from Peter Nevill, who is looking every bit a long-term Test player, and some lusty blows from Nathan Lyon and Mitchell Starc to spare them blushes after another horrible batting collapse.

It could have been worse had Lyon not been spared by a contentious decision review system call.

The wagging tail gave Australia the chance to cash in with the new pink ball under lights when it is most dangerous.

With pace ace Starc unavailable, Josh Hazlewood and Mitchell Marsh tore through the Black Caps top order.

Hazlewood captured three wickets while Marsh landed the prized scalps of Kane Williamson and danger man Brendon McCullum.

Resuming at 2-54, the Australians lost a stunning 6-62 in the first session as their twin bogies of swing and spin haunted them again.

While raw numbers would suggest the pitch has been a minefield for batsmen it was not treacherous enough to prevent Australia from adding 108 runs for the final two wickets. They are shaping as priceless runs in a low-scoring game.

Only Steve Smith and Nevill made half-centuries, the wicketkeeper's contribution with the bat backing up a flawless display with the gloves in the first innings.

Marsh's deeds with the ball will alleviate pressure over his place in the team though questions remain over his credentials as a Test No.6.

The situation is more dire for Shaun, whose sixth, and possibly final, stint in the baggy green has begun wretchedly.

Recalled to replace the injured Usman Khawaja, the older Marsh brother ran himself out, for four, in calamitous fashion after a horrible mix-up with Smith.

Marsh had hit the ball to mid-off but instead of making a decisive call hesitated several times before belatedly committing, to the anguish of his father Geoff watching in the stands. Soon afterwards the younger Marsh brother prodded down the fifth stump line to Doug Bracewell and was caught behind for two.

The all-rounder now averages 23.4 from 19 Test innings and has passed 50 only once. There has already been consideration given to moving Marsh down the order - an issue bound to be re-examined before the series against the West Indies if he stays in the XI.

Selectors, however, believe the all-rounder is a massive talent who needs time to develop at the highest level. Untimely injuries to Moises Henriques and James Faulkner may also play in Marsh's favour, so too his lively seam bowling that is now of greater import after Starc's injury.

Former Test opener Chris Rogers backed Marsh to come good but has identified flaws in his technique, which need correcting if he is to bat in the top six.

Marsh, Rogers said, was not getting his head over the ball enough, which made him vulnerable.

"A few people have mentioned to him his stance. He stands directly upwards so his head isn't out towards the ball and sometimes too far away from the ball, which is why he misses it and gets bowled a bit," Rogers said on the ABC broadcast.

"My big belief is you need to own the area in front of your front pad and you need to get your head right out over the ball. So you need to be engaged in the shot. Sometimes Mitch is just a little bit upright, and he's a tall guy.

"It's been mentioned to him and he's definitely working on it. I asked him yesterday before the game how his batting was feeling and he said really good, so there's no doubt he's doing a lot of work on it.

"If I dropped an imaginary piece of string from my chin it would land on the top of my front foot. If Mitch did that it would land between his feet."