Jason Talbot grabbed his first goal of the season but admitted he was partly to blame for Dunfermline not winning.
The Pars defender blasted home to cancel out Lee Ashcroft’s own-goal opener for Queens at Palmerston.
And when Kallum Higginbotham headed in substitute Joe Cardle’s cross, the Fifers looked set for a superb away-day triumph.
However, Stephen Dobbie tapped home from close range to rescue the Doonhamers, and Talbot later explained he could have done better in the build-up to the goal.
He said: “I thought we did enough to get the win but the opposing team has done well to come back.
“It was frustrating. It was partly my fault. I let (Dan) Carmichael come in and play a good ball in between the gap for (Derek) Lyle.
“The next thing you know the ball is in the back of the net.”
The Pars – who headed to Newcastle for their Christmas party after the game – delivered an excellent performance in the second half which merited victory.
And while Dunfermline may be level on points with ninth-placed Ayr United, the target remains bridging the seven-point gap to Morton in fourth.
Full-back Talbot, 31, said: “The second half was more like us. We’re still undefeated and we can go on and push for a few more points now.
“There are a couple of boys who are quite young and have not been in this league.
“It’s a learning curve for some of them and us as a unit.
“Those three teams at the top (Hibs, Dundee United and Falkirk) are really strong, have great squads and the biggest budgets.
“They were always going to be the top three when the fixtures came out and the season started.
“But fourth place is pretty much up for grabs. It could be for anyone in the league.
“St Mirren could go on an incredible 10 or 15-game run. You never know.”
Gary Naysmith’s side were ahead at the break when Ashcroft inadvertently turned Mark Millar’s corner into his own net.
But determined Dunfermline levelled through Talbot’s 20-yard drive and went 2-1 up thanks to Higginbotham.
It was then about holding on, but Queens rallied and salvaged a share of the spoils when Dobbie netted after keeper Sean Murdoch parried Derek Lyle’s shot.
Pars boss Allan Johnston said: “I thought the first half was a poor game and there wasn’t much between the teams. It was very scrappy.
“We told the boys that it wasn’t good enough. We played really well in the second half. We kept going forward, had chances and there was a better energy about the team.”
Queens top scorer Dobbie said: “I think if that was a couple of weeks ago we might not have come back, but the boys showed good heart.”