Lundstram joined Scottish Premiership champions Rangers from Sheffield United on a free transfer in the summer, but has struggled to make a significant impact so far.
Rangers kicked off their Europa League group stage matches with a 2-0 defeat to Lyon at home on Thursday and the 27-year-old played the entirety of the match.
Lundstram has been criticised for failing to stop Karl Toko Ekambi for Lyon’s opener at Ibrox, but Rangers manager Gerrard has come to his defence.
Providing his assessment on Lundstram’s performance against Lyon, the Liverpool legend explained that he thought the midfielder had a very strong game.
“I thought John had a very strong game last night“, Gerrard told a press conference.
Gerrard pointed out that Rangers looked good at times against Lyon before stressing the need for the Light Blues to bounce back against Motherwell on Sunday.
“I felt last night we at times looked a good team, I did feel like we were competitive“, the Englishman said.
“I do see Lyon on a similar level with Leverkusen, but at the end of the day we lost and we now need to bounce back for the weekend.“
Lundstram has made nine appearances across all competitions for Rangers so far this season and has scored one goal in the process.