- Greece says attack aimed at hurting country's image
- Police collect 60 spent bullet cases from the scene
- No one has claimed responsibility for the attack yet
At least four shots hit the metal gate of the high-security residence in the busy northern suburb of Halandri.
Sixty spent bullet cases have been collected so far, but no one was hurt in the early morning attack.
Anti-German sentiment has grown during Greece's continuing economic crisis, and many of those struggling with record unemployment and plummeting living standards blame the country's hard line on fiscal rigour.
Germany is the biggest single contributing nation to Greece's 240-billion euro bailouts which have kept the country afloat since 2010 and saved it from bankruptcy.
The German ambassador's residence was the target of an attack in 1999, when members of the now dismantled extremist group November 17 fired a rocket-propelled grenade that hit its roof.
Greek Prime Minister Antonis Samaras spoke to the German ambassador Wolfgang Dold, who was at home at the time of the incident, and Foreign Minister Evangelos Venizelos expressed his 'outrage and outright condemnation' over the attack.
He said it was a: 'Cowardly terrorist act clearly targeting Greece's image abroad a few days before the start of the Greek presidency.'
With a reputation for being Europe's problem child, Greece takes on the rotating European Union presidency for six months starting on January 1.
It is believed that the country is hoping to show how far it has come since it almost crashed out of the common currency bloc 18 months ago.
No one has claimed responsibility yet for attack which happened at 3.40am.
A police official who spoke on condition of anonymity said at least two assailants on foot were involved.
Comment: To see who is most likely responsible for this attack read: Far right fascists 'infiltrated Greek police', used as agents provocateurs