"[He's] closer, had a good week, was in practice, not only individual but during team," Staley said. "It was a good day today and we'll see how he responds tomorrow."
Allen injured his left hamstring in a Week 1 win over the Las Vegas Raiders and has not played since.
The Chargers are 4-2 as they prepare to play the 3-3 Seahawks at SoFi Stadium on Sunday. The Bolts will then go into a Week 8 bye.
Allen said Friday that he had "high hopes" of returning against the Seahawks and expressed confidence about how he practiced throughout the week.
"Felt good in there," said Allen, who is officially listed as questionable on the team's injury list. "It was solid. Felt good on the game speed."
The Chargers could again be facing significant injury issues to their lineup if Allen is unable to play.
Wide receiver Joshua Palmer and tight end Donald Parham Jr. are in concussion protocol and have been ruled out. Running back Joshua Kelley is out because of a knee injury, and kicker Dustin Hopkins is out because of a right hamstring strain.
In Hopkins' absence, the Chargers will turn to kicker Taylor Bertolet, whom they signed to the practice squad going into Week 5.