Xavi has said managing Barcelona is a "thankless task" but insists his team are moving in the right direction despite being on the verge of a second Champions League group stage exit in as many years.

Barca will look to bounce back from Wednesday's 3-3 draw against Inter Milan, which took their European fate out of their hands, when they travel to Real Madrid for Sunday's El Clasico.

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Barca and Madrid go into the game tied at the top of LaLiga on 22 points after eight games, but the pressure has increased on Xavi following the midweek setback against Inter.

"I understand it [criticism], I know where I am," he said in a news conference on Saturday. "We slipped up when we could not afford to slip up. If there is one quality I have, it's empathy and I understand the fans are sad and disappointed. I am as well.

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"We have improved since we took over the team. In terms of results, it's a shame the dip against Inter, because we were doing well. But we are top of LaLiga, haven't lost and the season so far gives me reasons to be optimistic.

"When I don't feel I can provide the solutions, I will step aside and go home. I will not be a problem for Barca. But at the moment, I am optimistic. It's early in the project and we are on the right path.

"Being Barca coach is a thankless task. It's better to be a player than a coach here, especially ahead of games like Sunday's. I have told the players that. These are the games to step up in, for players and coaches."

Xavi replaced Ronald Koeman as Barca coach last November and was given over €150 million to spend on improving the squad in the summer by president Joan Laporta, who said on Friday he maintains faith in his coach.

"[That he has] complete confidence [in the coaching staff], that there is still a long way to go and that we have competed in Europe," Xavi added when asked what Laporta had told him when they spoke after the Inter game.

"The president is very optimistic, he always gives you wings. The Champions League is being cruel to us, but we can't stray from the path, we're doing well and we have to follow this job through."

Barca won 4-0 the last time they faced Madrid at the Bernabeu earlier this year, but they have defensive problems going into this weekend's fixture.

Ronald Araujo, Andreas Christensen and Hector Bellerin are all injured, but Xavi says Jules Kounde is "100 percent fit" and ready to play again.

Kounde is naturally a centre-back but has played at right-back this season and could be picked there on Sunday to try and keep Vinicius Jr. quiet.

"There are options [to deal with Vinicius] and we will decide on Sunday," Xavi said. "But it's not just about Vinicius, it's [Karim] Benzema, [Fede] Valverde, Rodrygo, the midfield... It's a huge game and Madrid are a great team with a strong block. It's not about stopping Vinicius but stopping Madrid as a collective.

"The Clasico is a great opportunity for us. It's a vital game for both teams. We want to strengthen our grip on top spot. It's a challenge and a chance to change chip.

"Seasons are graded when they finish, although [results in the Champions League] have not been good at all. We don't like the disappointment we're feeling but I am still optimistic. The team is desperate to win things this season. We have to keep working hard, it's the only path to success."