Guardiola says his men must concentrate and start winning their upcoming matches as there are plenty points to fight for in the remaining ten matches.
The hosts were the favourite coming into the Manchester Derby, but conceded a penalty in the opening minute when Gabriel Jesus clumsily fouled Anthony Martial. Bruno Fernandes scored from the spot to put the visitors ahead.
Manchester City dominated the game but could not break the defense of Manchester United despite midfielder Rodri hitting the bar early in the second half.
England defender Luke Shaw got Ole Gunnar Solskjaer’s side’s second goal on 50 minutes and that was enough to end the Citizens’ 28-game unbeaten run in all competitions.
"It was a fantastic game. United make incredibly high pressing and they are so fast on the counter. We played good. Unfortunately we couldn't be clinical up front so we congratulate United,” the former Barcelona coach said after the game.
"We will be the news because we lost. But the news is 21 victories in a row. There are still 30 points to play and we have to start to win again. That's football. Sometimes it happens. We played much better than the game against West Ham which we won."
Next up for Manchester City is a home game against Southampton in the Premier League on Wednesday.