Sharper finishing is all that is required to take Manchester City to the next level, manager Pep Guardiola said after his side's 1-1 draw with Liverpool.

Guardiola's cavalier approach came under scrutiny after City fell to a 3-1 defeat at Monaco last week that saw them eliminated from the Champions League on away goals after a 6-6 aggregate draw.

Sergio Aguero's 69th-minute equaliser meant City emerged with a point from Sunday's ding-dong battle with Liverpool, but Guardiola said his forwards' lack of ruthlessness was holding the team back.

"When you score goals, after that the game is in our hands and you have more control," he said.

"We have clear chances in front of the goalkeeper and we don't score goals. That's why you cannot compete with the top teams.

"To achieve that target, you have to be clinical."

Aguero's strike, from Kevin De Bruyne's superb right-wing cross, cancelled out former City player James Milner's 51st-minute penalty.

City squandered a glut of chances late on, with Aguero particularly culpable, but despite identifying his side's profligacy as a key failing, Guardiola said there was nothing he could do to improve it.