The Hornets have lost all three of their Premier League games so far this season, including a 3-1 home defeat to West Ham at the weekend.
They welcome unbeaten Coventry to Vicarage Road on Tuesday night looking to secure a first win of the campaign.
Gracia is likely to shuffle his pack against the Sky Bet League One side but is still determined to start turning things around.
“Every game is a good chance in this moment for us to do better and to feel better, with more confidence,” he told the Watford Observer.
“But we’ll decide what is best because there are some players injured, fit or not fit but with the target to try to win, to try to play well because we need it.
“We need to improve and be more precise and more clinical. But we need to defend better from set-pieces and in all different phases of play we need to improve.”
A host of fringe players will be hoping for chances to impress for last season’s beaten FA Cup finalists, with summer signing Danny Welbeck pushing for his first start.
Daryl Janmaat, Christian Kabasele and Tom Cleverley have all been on the bench for the three Premier League openers and could come in.
Cucho Hernandez, meanwhile, has signed a new deal with the Hornets and the 20-year-old forward has been sent on loan for the season to Real Mallorca.
Watford technical director Filippo Giraldi said: “We are very pleased with his progress. He had some difficult moments but that is how you grow. You’ve got to have those ups and downs.”