The 36-year-old striker left the Reebok Stadium when he was not offered a new contract, bringing a decade at the club to an end.
The former Southampton and Blackburn Rovers player considered a move to the MLS with Toronto, but he believes that he can still have an impact at Championship level or even eventually in the Premier League.
"For now, I am still looking to play. It's a difficult situation this summer because I have not really faced this since I was released by Southampton. But at the same time it is quite exciting.
"I'm on this course for a couple of weeks then I'll take the family away.
"I will look at any offers when I come back but I have had a couple already from Championship clubs.
"I've been fortunate enough to have 15 years in the Premier League but I also enjoyed the Championship last season.
"I have a lot of belief in myself and the Premier League is where everyone wants to be playing and I'm no different. We will wait and see what offers there are."
Davies has racked up over 700 appearances in a playing career that started at Chesterfield in 1993, but he is confident that he could still cope with the demands of the Premier League.
"I still feel fit and want to play on as long as I can. Players are so well looked after these days and you do all your rehab properly.
"There is yoga, ice baths and sports science - that's why people are playing for so long now. Retiring at 35 is a thing of the past.
"You just look at Kevin Phillips and Ryan Giggs - they are both fantastic examples of that. Hopefully I have a few years left playing yet."