Redknapp's side take on QPR knowing they are on a high after beating Chelsea 1-0 last Sunday.
But the White Hart Lane supremo said: "We are also a good side. This is the best squad I have ever managed, that's for sure.
"We've got some good players. It's got to be right up there.
"Manchester City seem to be the team to beat. They're looking so strong, it's amazing when you look at the strength in depth they possess. There are people like the full-back Wayne Bridge, who is not even in the Premier League squad.
"They're favourites suddenly to win the league. But it is going to be tight. I looked at their fixtures for their next seven or eight games and you can see them getting a lead and being difficult to peg back.
"I still think Chelsea are strong. I know they had a bad result last week against QPR but they've got a winning mentality and I think it will be close."