My daughter had a 3 day "menstrual cycle" starting when she was only 5 days old, could this affect her later, is there anything else i should expect?

Normal finding: The uterus of a newborn female will occasionally shed menstrual blood between 3- 7 days +/- after birth as a reflection of maternal hormones of pregnancy. Many more just have mucous show for several days. This is normal and not repeated throughout infancy. The newborn uterus is also relatively large at birth & gradually shrinks over 6 mo due to lack of pregnancy hormones.

This is normal: Your daughter received hormones from you that caused her to have a mini puberty. Besides having some bleeding, both boys and girls can have significant breast development from the estrogen they get from their moms. This will not cause any long term problems for the babies.