Order of Merit leader Robert Karlsson dropped a shot at the last but a round of 67 moved him into joint fifth at the halfway stage of the Portugal Masters.
Lee Westwood, who can overtake the absent Padraig Harrington and go second in the race, also shot 67 and is five-under, three strokes behind Karlsson.
Welshman Stuart Manley carded a 68 to retain his lead, moving to 11-under, a shot clear of Spaniard Alvaro Quiros.
Miguel Angel Jimenez made the cut by a
shot, but Colin Montgomerie missed out.
It was the fourth time in his last five starts that Montgomerie has failed to make it through to the weekend, the ninth time in all this season.
Starting from the 10th he had a double bogey at his fifth hole and despite successive birdies he dropped two more shots on the way home to finish with a 76 for a two-day total of five-over.
Manley was a useful schoolboy footballer and once had a trial with Manchester United, but has so far failed to hit the heights in golf, currently languishing in 575th place in the world rankings.
He has earned less than £60,000 from 31 previous events this year and lies 174th in the money list, but third place is worth £150,000 and could spare him a fifth visit to the Tour qualifying school.
"I just have to commit really," said the 29-year-old from Mountain Ash, yet to record a top-10 finish since turning professional in 2003, who has his wife, brother and parents supporting him this week.
"If the shots don't come off they don't come off, but as long as I commit and go out there and give myself a chance that's all I can ask for."
Manley had seen his first round advantage disappear by the time he reached the turn, but chipped in for a par on the 11th and fired a four-iron to six feet to eagle the next, before collecting birdies at the 15th and 16th.
Two shots behind in joint third is former Open champion Paul Lawrie, who has not won a Tour event since the 2002 Wales Open.
"I've been playing good golf for a while, but holed a few putts here," said Scot, who had seven birdies in a 65.
"It's disappointing obviously to be 96th on the Order of Merit - I'm a better player than that - but you never realise how hard the game is until you struggle with the putter."
Westwood moved into contention with an eagle and four birdies in the space of 11 holes but had more trouble at the 17th.
Following his double bogey at the 588-yard par-five in round one, the Ryder Cup stalwart found the lake again and dropped another shot.
"The marvellous 17th," he lamented. "That was the most disappointing thing of the day. I was six-under and should have been nine or 10."
Darren Clarke, playing alongside Montgomerie, had six birdies and reached five-under before a double bogey at the ninth, his final hole.
Former US Open champion Angel Cabrera eagled the 12th en route to a 69 to make the cut by two shots, but his son Federico brought up the rear after three double bogeys and a quadruple bogey eight in his round of 80.
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