Palmer joined the Terriers on loan from Chelsea in the summer but has been missing since suffering a hamstring injury on August 26 against Southampton.
He has therefore been absent for his side's last nine games in call competitions and was expected to face longer on the sidelines.
However, the 21-year-old successfully came through 45 minutes for the Under-23s on Monday against Sheffield Wednesday and could return to the first-team fold in the coming days.
Palmer featured in his side's first four games of the season, having also played a key role in last term's promotion to the top flight.
Saturday sees Huddersfield return to Premier League action, as they travel to the south coast to take on Bournemouth.