Arsenal’s lead at the top of the Premier League table has been cut down to three points following their last two results.
The Gunners lost at Everton last week and then only managed to get a draw against Brentford on Saturday.
A win for Manchester City at the Emirates on Wednesday would put the two teams level on points with Arsenal having a game in hand.
Saunders stressed that Arsenal should be happy with a point on Wednesday night as Manchester City are the better-quality side.
However, he feels the game should say a lot about the mentality of the Arsenal players and their ability to handle pressure given they are experiencing a blip in form for the first time this season.
Saunders said on talkSPORT: “Pound for pound and player for player, Manchester City are a better team than Arsenal.
“And if I was Arsenal, I am taking a draw all day long and move on.
“They have had a little bit of a hiccup and now we will see, who wants the ball?
“Everybody wants the ball when you are winning but who wants to stand up when the crowd are sort of murmuring and can they play under pressure?
“We will find out.”
Manchester City did beat Arsenal recently when they knocked the north London side out of the FA Cup.
