The champions have gone four games without a Premier League win for the first time since 2017 after successive draws against Chelsea, Liverpool and Tottenham were followed by defeat at Aston Villa on Wednesday.
They will be expected to put that behind them at Kenilworth Road on Sunday but the promoted Hatters have produced some battling performances on their top-flight return and Guardiola expects another.
The City manager said: “They are doing really well for the way they play. Top clubs like Liverpool and Arsenal have struggled to win against them and it will be no different for us.
“But at the same time we’re ready for the challenge. We’ll keep working. That’s what we have to do.
“We’ll go to Luton, adapt for the pitch, the team, the style they play. They’ve done really good things but we will try impose our game and break their dynamic.”
City’s form has raised eyebrows with some observers questioning their hunger or whether they have become complacent after all their recent successes.
Yet none of this is a concern to Guardiola, who has guided City to five Premier League titles as well as Champions League glory.
The Spaniard said: “When you are winning a lot of games you are the best team in the world, when you are not winning it’s a crisis. We know it. It’s always exaggerated one way or another.
“What is important is to face the reality. We’re not used to playing four games without winning but we played against top teams. They’re always difficult.
“It is not the first time we have been in this position. In these eight years we’ve always had periods where we don’t get results.
“We have to try to end them as soon as possible but it happens, so we face it, challenge it. That is the situation, let’s do it, let’s go for it.”