The Real Madrid boss believes Diego Simeone's side have a hefty advantage over the Rossoneri, but wished Clarence Seedorf luck with the encounter.
Real Madrid boss Carlo Ancelotti has backed Atletico Madrid to knock his former club AC Milan out of the Champions League.
Diego Simeone's side claimed a 1-0 win over the Rossoneri at San Siro in the first leg of their last-16 encounter and the Italian believes his club's rivals will finish the job on home soil against Clarence Seedorf's men.
"Good luck to Clarence, but the favourite for the match between Atletico and Milan is Atletico," he is quoted as saying by La Gazzetta dello Sport.
"Atletico are favourites because of their football, the atmosphere at the Vicente Calderon and because of the advantage they gained at San Siro.
"Simeone will progress. He's very intense."
Atletico won in Italy thanks to a late Diego Costa strike after the Rossoneri spurned a number of chances to take the lead. The second leg takes place on March 12.