The Reds are currently nine points behind the Baggies with six games left.
Davies concedes leaders Newcastle cannot be caught but told BBC Radio Nottingham: "Depending on the next few results the door may open widely.
"I've seen it before. What we've got to do is make sure we don't slip up and hope there are slip ups elsewhere."
Forest head to Bristol City on Saturday, while West Brom host Leicester on Good Friday evening.
"The nine [point gap] can go to six, and then the six can go to three within two games.
"Before you know it, you're looking at being three points behind with four games to go."
Despite being unbeaten away from home from March 2009 to January 2010, the Reds have now lost their last seven games on the road.
In contrast their home form has equalled a club record of 12 successive victories at the City Ground.
Source: BBC Sport
Source: BBC Sport