The Binos boss watched his men climb off the bottom of the Irn-Bru Third Division table on Saturday after a 2-0 defeat of Clyde helped them extend their unbeaten league run to five matches.
While acknowledging that Rangers have grown greatly since suffering that shock 1-0 loss to Stirling in October, McDonald reckons his team are also a much stronger side now, and he is refusing to rule out another Binos success.
He said: "Rangers have obviously stepped up from when we played them last here, and I think everybody knew that they would come good when they got used to the division.
"Ally McCoist and his players have done tremendously well – they are clear at the top and they'll win the league no problem.
"But we have caused them problems before; we even caused them problems at Ibrox – their second goal only went in in the 90th minute when we were down to 10 men.
"The guys will get themselves up for that and we'll see what we get from Rangers. We are still looking to get something from the game, we are not looking to just be lambs to the slaughter.
"We can cause them problems and although nobody will give us a prayer, I wouldn't write off my guys."
With the Stirling squad currently brimming with confidence, McDonald was keen to stress that his side will now be looking to push on and rise up the table.
"It isn't just about getting off the bottom of the Third Division table," he added. "We need to emphasise we are not done there.
"We are on a good run though – three wins and two draws out of five. Eleven points out of 15 in the Third Division is good going at any rate.
"If we can keep getting results where we maybe shouldn't get any, and keep that mentality going, then hopefully we can move on even further."