The veteran striker announced his departure from the club where he has spent his entire career and had been expected to sign for Schalke, possibly as early as this afternoon, but the 33-year-old says a move to the Barclays Premier League is also a possibility.
'The German team is interested in me and I have had very deep discussions with them,' he said.
Emotional: Raul gestures during a news conference at the Bernabeu on Monday
'In a few days I will know whether I'll be going to the Bundesliga,but there are other teams that are also interested. What is clear isthat my future lies in Germany or England,' he added.
Adios, amigos: Raul says goodbye to the Bernabeu faithful
Reports in Spain have strongly linked Tottenham and Newcastle with the veteran, though respective managers Harry Redknapp and Chris Hughton have both distanced their clubs from a deal.
Manchester United and Liverpool have also been mooted as potential destinations.
Raul, though, says the decision to leave Madrid was a tough one.
'It's a hard day for me,' he said. 'I feel like a footballer stilland I will keep on playing, but I will always be loyal to Real Madrid.I have tried to give everything in my time here.'
The 33 year-old says his time at the club has been like a dream.
'Beinga Real Madrid player is the greatest dream you can imagine,'he said. 'Today more than ever I want everybody to know that in everymove, dribble, turn or gesture on the field of play, I tried to givethe best I could. In my head the word surrender has never existed,because that is what Real Madrid is about.'
Thanks for the memories: Raul is leaving Real Madrid after 16 years with the Spanish giants
The Madrid captain was a key part of one of the club's mostsuccessful sides ever, winning three Champions League trophies and 16titles in total, but was only a bit-part player last season and hasdecided to end his career elsewhere.
Despite his obvious sadness, Raul says the time is now right for a new challenge.
'A new period starts today,' he said. 'I have been happy at RealMadrid and I will always be willing to help the club in whatever itneeds, but the time to leave has come.
Memento: Raul signs a shirt after announcing his departure
'I have had the feeling (for a while) that this is the time to moveon. I have worn the Real Madrid shirt for many years. I'm 33 now and itis time for some younger and stronger players to come in.
'Also it was my last opportunity to have the experience of playingabroad. I have taken the decision with my family and I want to keepcompeting.'
Saying goodbye: Jose Mourinho and his assistant Aitor Karanka attend Raul's farewell ceremony
Madrid president Florentino Perez also paid tribute tothe departing idol.
'We will never forget Raul,' he said. 'There are many men who formpart of the legend of Real Madrid, but few that are chosen to embodythe club - Raul is one of those.'
Way back when: Raul celebrates after scoring against Atletico Madrid in 1997
Raul scored 323 goals in 741 games for Real Madrid, as well as 44 in 102 appearances for Spain.
His departure follows that of midfielder Guti, who announced hisexit on Sunday and is expected to sign for Turkish side Besiktas.
Real Madrid confirm legend Raul will quit with Schalke set to sign veteranReal legend Raul set to snub Spurs and Newcastle to seal Schalke switch