Chelsea are 11 points behind leaders Manchester United and six adrift of Manchester City with 15 games to go in the season.
Interim boss Rafa Benitez has accepted that winning the title is highly unlikely, but Cahill feels if his side can build on Sunday's 2-1 win over Arsenal they could be in with a chance.
"We are looking up, not down, and want to try and chase first and second spots. Yes we are looking at the Manchester clubs," said the England defender.
"It has been frustrating because there have been many times this season where we have nearly got ourselves back involved, only to let it slip.
"But we are more than capable of putting a run together and winning nine out of 10 games. That's what we need to aim for and see where it takes us.
"We have got to make sure we are in one of the spots for the Champions League. We also have the cup competitions and we want to go as far as we possibly can in them.
"We just want to win games. A lot of teams have slipped up this season, so we need to win as many as we can."