Arsenal are tied on points with City , but City have played one game less so they could potentially bypass them. Yes, nothing has been lost for Arsenal yet, but at the moment they are already losing 5 points to Liverpool, and it may not be easy to make up for this, besides, we don’t know how Arsenal will cope with this decline, whether they will be able to continue winning, or their unsuccessful the series continues.
Manchester City not in good shape, they're volatile in actions and its really threatening and frustrating. Losing points is easy but gaining them back is very challenging and most teams ended in deep regrets and pains from the humiliating defeats witnessed, they will do better in upcoming matches without having any difficulty, it's just time that will tell. Arsenal have dropped down to meet Manchester City and they will continue to dropped if they don't stand their ground in matches. Mikel Arteta is frustrated and doesn't have an idea on operating and handle the entire situation happening in Emirate stadium.
I guess you can't say Man City are in poor form... It's just that other clubs are playing better this season... That's why the EPL has a high competition in the standings... It's not easy for Man City to play in the Champions League and in the EPL... But I think that in the second half of the season they will be able to get to the first place, as it was last season...