However, hot on their heels are Manuel Pellegrini's men, who will look to win back-to-back league games for the first time since October and have striker Sergio Aguero in top form, with five goals in his last three league games.
"Man City have too many dangerous players. You can play a perfect match but they'll win because they have magicians. It's an open game as they want to win. We want to win too, so it's open," Ranieri told reporters on Thursday.
"Our fans continue to dream. That is what we want. We know it's a tough match but from now there will only be tough matches."
However, Ranieri said his side are not favourites to win the league title and that City would be out of sight if they can play at their best more regularly.
"The others (are favourites). Not Leicester... If they push a little more in acceleration they go. We have to run a lot. Manchester (City) are built to win the title, fight for the Champions League," the former Chelsea manager said.
(Reporting by Shravanth Vijayakumar in Bengaluru; Editing by Toby Chopra)
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