The Stoke City midfielder was sent off in his side's opening match of the FIFA World Cup, a 3-0 defeat at the hands of group leaders France.
After tangling with Paul Pogba to earn his first booking, Palacios barged into the back of the Juventus man late in the first half to earn his second yellow and give France a penalty, which was tucked away by Karim Benzema for the opening goal.
As a result, Palacios served a one-match suspension, and missed the 2-1 defeat to Ecuador on Friday, which left Honduras' hopes of qualifying hanging by a thread.
Heading into Wednesday's match in Manaus, Honduras need to beat Ottmar Hitzfeld's side and hope for a France win over Ecuador, as well as a five-goal swing in goal difference.
Palacios is back in contention for coach Luis Suarez, and the combative midfielder knows there can only be one approach.
"It will be a game of risk because we have to win," he told El Comercio.
"We are left with nothing else but to go get it."
Team-mate Brayan Beckeles added: "There is still a chance and worth taking any risk with the plan that Suarez demands."
