The Bath player claims he does not consider the England players to be infallible but he admits the game could hardly be more difficult.
He said: "Every game in the Six Nations is a tough game. There's a lot of good sides now, with England being the best of the bunch.
"But we've got them at home and it's our first home game of the championships, we'll have the home crowd behind us and I think everyone is thoroughly looking forward to it.
"It's always great to play at home and Murrayfield and I'm thoroughly looking forward to that experience with that passionate crowd.
"We are a new side so we can go for it. We've got nothing to lose and no one expects us to win.
"They are the world champions but they are only human and you lose the fear factor when you train with these guys and play against them week in, week out.
"In saying that, you can see what some of them can do and they have got fantastic players throughout the side. I'm fully aware of that, as the rest of the Scotland side is.
"If we don't play well and they play like they can, then we can definitely suffer. But we've got to worry about our own performance and if we put up a good performance then we're confident that we can challenge them."
The Scots started their RBS 6 Nations Championship in unimpressive style, going down 23-10 to Wales in Cardiff.
However, Danielli insists there are positives that the Scots can take from that defeat.
He said: "We put a lot of young blood into the game and we're playing with a new coach and a new system and things did look better in the second half.
"We never showed that much in the first half and never really kept the ball long enough to threaten them, so we're just looking to do the basics. We'll try and keep the ball longer and in that way threaten England.
"We've looked at the Wales game on video and seen where we went wrong and how we can fix that, so hopefully we can put that right this weekend.
"But the biggest disappointment is that we know we can play better and know we could have challenged them better than we did. We've just got to work on those things."