We take on the Gunners at the Emirates Stadium on Wednesday, with a 19:30 (UK time) kick-off.
Victory would take us top of the Premier League table on goal difference, replacing Mikel Arteta’s men at the summit.
Guardiola hailed Arsenal’s start to the 2022/23 campaign and stressed the difficulty of the away encounter against them this midweek.
He said: “So far they are the best team in the Premier League, they made an incredible first round, first leg of the league.
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“We felt it a few weeks ago when we played in the FA Cup here, how committed, sharp and everything.
“We have to try to read the game we’re going to play.
“It will be a big, big battle in every department. You have to be ready.”
Guardiola knows that this summit meeting is an important one, with forensic focus around the fact that first plays second in the top-flight.
But the boss also stressed that there are still ‘many games to play’ between now and the end of the season.
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He added: “Many games to play, a lot of points still to be played too.
“Tomorrow’s another one, of course, an important one, everyone knows it, we know it and we have to try to perform well.”
Watch the press conference in the video player above.