Australia won by nine wickets after England had earlier done well to recover to 257 all out after slumping to 101 for six wickets.

But on a good batting wicket that never looked likely to be enough, especially with Australian captain Ponting in sublime form and Watson bludgeoning the ball to all parts of the ground, Tim Paine was the only Australian wicket to fall, caught by Steve Davies off the bowling of Graham Onions for four, but after that it was all Australia.

On Monday in the final, Australia, who won the Champions Trophy in 2006, will play the winner of the other semi-final between Pakistan and New Zealand. That match will be played in Johannesburg today.

Watson hit 136 not out, including seven sixes off 132 balls, while captain Ponting finished with 111 not out off 115 as the two batsmen shared an unbroken second-wicket partnership of 252 from 40.2 overs. Watson also hit 10 fours, while Ponting's boundary tally was 12 fours and a six.

beautiful wicket

Watson said his form couldn't have been worse at the start of the tournament and that Ponting had given him a lot of advice throughout his innings.

"It was a beautiful wicket out there. It is time for me and others to put up our hands up for this team after losing a lot of senior guys," Watson said.

Ponting was understandably delighted with the allrounder's performance.

"Shane is peaking at the right time," Ponting said. "His bowling spell to the left-handers was terrific."

However, Ponting said his bowlers had been too attacking in the middle of the innings after England had lost their first six wickets relatively cheaply.

England captain Andrew Strauss said it would have been difficult for any side to come back from such a poor start.

"We can take a lot from this tournament, but Australia outplayed us. They've got a good mix," Strauss added.