But Holden's move could be scuppered as he has played for two other clubs this season during a three-month loan spell at League One Charlton Athletic.
Fifa rules state a player cannot play for three clubs in one season but Wrexham will be permitted to sign the 21-year-old on an emergency loan deal.
"It's just a bit complicated with Rhyl and Charlton," said Saunders. "He has been at Charlton for the last three or four months.
Holden, who was also linked with Coventry City, signed on loan for Charlton in September on a three-month loan deal but made just one appearance for the Valley club in a 2-1 Football League Trophy defeat to Southampton.
The left-sided midfielder helped Rhyl win the Welsh Premier title last season and Saunders hopes Holden can bolster Blue Square Premier side Wrexham's push for promotion back to the Football League.
Wrexham head to Altrincham on Saturday hoping to beat them for the first time in three outings this season.
And Saunders joked: "It is about time we beat them as we've played them twice and I think we've put 47 crosses in. We drew at home and got beaten 1-0 from an own goal after totally dominating the game."
Source: BBC Sport
Source: BBC Sport