Villa’s win over Birmingham City at the weekend, means that Steve Bruce’s side are now Wolves’ closest rivals for the Championship title.
Villa have won their last seven league matches on the bounce, to move up into the automatic promotion spaces.
But Coady insists that Wolves will not be affected by the form of their local rivals.
He said: “We can’t look at anything else that’s going on in the division. We don’t look at any other teams and how they’re doing or playing.
“We just look at ourselves and prepare for the next game.”
Villa still have some way to go if they are to catch Wolves, as they currently trail Nuno’s side by 12 points.
Wolves have been in remarkable form this term, and breaching that gap will be a huge challenge.
Villa may well simply be more concerned with protecting second spot.
The claret blues are currently one point ahead of Derby County, with their next match coming against Fulham.