Brad Fritsch (65) and Jamie Gomez (68) are tied for second place at 9-under-par 135. George Bradford shot a 5-under 67 and is alone in fourth place at minus-8.
Davis, a tour sophomore who is winless so far on the Canadian circuit, had an up-and-down round. He tallied six birdies in a row from the second hole, but dropped a shot at the eighth. Davis reclaimed the lost shot with a birdie at No. 9.
He recorded three birdies, a bogey and a double bogey at the 17th for his wild round.
First-round leader Michael Harris struggled to a 1-over 73 and is tied for fifth place with Craig Taylor (71), Scott Gibson (70) and Robert Hamilton (65). The group is knotted at 7-under-par 137.
Bret Guetz fired a 7-under 65 and is alone in ninth at minus-6. David Mathis (70), Antonio Serna (69) and Derek Gillespie (68) are tied for 10th at 5-under-par 139.
The 36-hole cut fell at 2-over-par 146 and 68 players advanced to the weekend.