The Manchester United star has put in some flashy performances on the right-wing since signing for the club on a one month loan two weeks ago.
In order to boost their promotion aspirations it is hoped that the club can agree a deal with Manchester United to keep Chadwick at the club.
"Luke Chadwick has made a big difference to us since he has been on loan from Manchester United," said Pardew, speaking after his side's 3-0 win over Rotherham at the weekend.
"I would like to keep him after his one month loan spell is up but that's down to Sir Alex Ferguson and Manchester United.
"Chadwick is obviously Premiership quality but I think Steve Sidwell and Andy Hughes are also players who can establish a Premier League career for themselves."
Chadwick is likely to make his fifth appearance in a Reading shirt on Saturday when the Royals take on Wimbledon at Selhurst Park.