Townsend has scored three times since his January transfer.
The Magpies are currently one point adrift of safety having a played a game more than their relegation rivals Sunderland and Norwich but recent displays which has seen comfortably beat Swansea City, as well as earn creditable points against Manchester City and Liverpool means they are in decent form and are threatening to beat the drop.
Townsend is quoted in the Northern Echo, saying: "We’re always confident. We’re a confident bunch of boys, especially at St James’ Park where we know we're a match for anyone.
“We've shown this season we're a match for anyone at home. Palace are a good side, but we're going to go into the game full of confidence and hoping to get another three points."
Newcastle will be hoping that Palace will have one eye on the FA Cup final they reached last weekend, and the new found momentum that has been generated by Rafa Benitez's side can help them to victory this weekend - putting pressure on their rivals ahead of them.
Townsend signed from Tottenham for around £12 million in the January transfer window and seems reasonably satisfied with the contribution he has made to the side so far.
He added: “I’ve been happy with the amount of goals and assists I've been able to contribute to this team. I know the hard work starts now. We've got three games left, and if we're going to stay up, not just me, but the whole front four are going to need to contribute with goals and assists.”
Townsend has made 10 appearances since he made the switch from North London, finding the net on three occasions, as well as providing two assists. He has provided the side with some pace and width as well. If they are to survive then it's hard to think that good performances in the final three games from the winger won't be part of it.