Australia, who at 3-0 down were trying to avoid a first Ashes series without a Test win since 1977, were 112 for one at lunch.
Watson was 80 not out, his best score of a disappointing series where he'd previously only managed one other fifty, and opener Chris Rogers unbeaten on 21 after the early loss of David Warner.
Watson was especially severe on England's two debutants, striking six fours apiece off seamer Chris Woakes and left-arm spinner Simon Kerrigan, whose first two overs in Test cricket cost an expensive 28 runs.
But England had an early breakthrough when left-hander Warner played a loose shot outside off-stump to James Anderson and was caught behind by wicketkeeper Matt Prior for six to leave Australia 11 for one.
Anderson's 325th Test wicket saw him draw level with Bob Willis in second place in an England all-time list headed by Ian Botham with 383 wickets.
Warner's exit brought all-rounder Watson to the crease.
Having started the series as an opener, Watson later appeared at number six and this match saw him filling Australia's problem position of number three after Usman Khawaja was dropped.
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