A disputed penalty 13 minutes into the second half earned an improved Hereford side a deserved point in an exciting encounter which was full of chances at either end.
Referee Karl Evans was most positive about the decision having spotted a foul by Mark Bradley on winger Matt Done.
Bulls striker Steve Guinan stepped up to send the spot-kick hard and low into keeper Clayton Ince's right-hand corner.
Hereford fully deserved the point having belied their low position in the table throughout. They created the best of the chances being unfortunate as early as the third minute when a free-kick by Done was missed by Ince and Chris Palmer cleared off the line.
While Walsall had the better of play, it was Hereford who created the better opportunities and in the 21st minute an error by Anthony Gerrard enabled Hereford striker Andy Williams to go clear.
He appeared to be tripped by Ince, but didn't go down and with seemingly a simple chance looming he was caught by Manny Smith who managed to clear.
Williams had another great chance in the 31st minute when being released by Guinan, but with only Ince to beat the striker fired wide.
Walsall took the lead in the 33rd minute when in-form winger Sofiene Zaaboub brilliantly cut in and sent over a low cross which Troy Deeney side-footed into the net.
But Hereford remained threatening and just before the interval Palmer cleared off the line from Guinan.
Deeney was unlucky two minutes into the second half when his deflected shot hit the inside of a post and came out, but at the other end just two minutes later Ince pulled off a magnificent save from Guinan's header.
After Guinan's penalty equaliser Hereford began to put on the pressure, but there were chances at either end, with Deeney shooting just over for Walsall and Zaaboub forcing a save from Craig Samson with Jabo Ibehre missing an opportunity from the rebound.
In added time Bradley missed a good opportunity to win it for Walsall.