Lefty carded three birdies, an eagle and two bogeys on his way to a third straight round of 69 to leave himself sat six shots off the lead, which is currently held by Johnson Wagner.
Wagner is one of a number of players still to finish his third round due to rain and currently sits on 15-under, one clear of fellow Americans Patton Kizzire and Scott Piercy, while Paul Casey is two off the pace at Silverado.
With the weather expected to improve, it promises to be an intriguing final day in California and Mickelson is confident that he can make a move on Sunday.
He said: "I'm still in a chance where if I go out and shoot a hot round of 8, 9 under and it's out there, that I maybe am able to creep up the leaderboard.
"The weather's supposed to be a little bit better tomorrow and I'll have to get hot with the putter because I've given myself a number of good opportunities but haven't capitalized on some that I should."