SIR Alex Ferguson insists United will continue to dominate - even without splashing the cash this summer. Fergie ran the rule over targets David Silva and David Villa as United beat Valencia 2-0 at Old Trafford last night. But the Reds boss is convinced the Premier League champions are still the team to beat at home and abroad, despite the massive spending of City and Real Madrid. The United boss said: "We are working from a position of strength. "We don't suddenly have to splash out to try to compete at the top. "We are already there, thanks to a long-term strategy of buying mostly young players, who we feel have the potential to become top performers. "It is certainly our intention to challenge for everything on offer and I feel we are well placed to take on all comers." United have been overshadowed in the transfer market by the unprecedented spending of City and Real. Ferguson has watched on as Mark Hughes has landed the likes of Carlos Tevez, Emanuel Adebayor and Gareth Barry, while Bernabeu president Florentino Perez has cherry-picked the best players in the world, including Cristiano Ronaldo and Kaka. In response United have signed Antonio Valencia for around £17m, Michael Owen for free and Gabriel Obertan for £2m. Ferguson is still monitoring Valencia duo Silva andVilla, as well as Atletico Madrid's brilliant Argentine, Sergio Aguero but remains adamant that he won't rush to spend the world record fee he received for Ronaldo. ?I know there will be some fans who are disappointed that we didn't spend the princely £80m on another superstar,? he said. ?I would have done had I felt we would have been getting value for our money, but this close season some crazy things went on and the price of the game's major players went through the roof. ?The asking price for players we were looking at just wasn't realistic and we held off. ?I think we have shown over the years that we are not afraid to spend big and we have frequently created transfer records, but only when we felt the level of the fees made financial sense. The level of the fees being demanded in recent months just didn't add up.?