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Real Madrid boss Carlo Ancelotti admits Pep Guardiola's Man City are a 'nightmare' to prepare for ahead of Champions League play-off first leg

Carlo Ancelotti has revealed Manchester City are still giving Real Madrid nightmares ahead of Tuesday's Champions League play-off first leg at the Etihad.

City have won just eight of their last 23 games in all competitions but Madrid's manager insisted form goes out of the window in the pre-eminent European rivalry of this era.

Ancelotti also believes the winner will be favourites to lift the title at May's final in Munich, with either Atletico Madrid or Bayer Leverkusen waiting in the last 16.

'It seems like it's a Clasico,' said the Italian, who has won the competition as a manager a record five times.