Ancelotti left Real Madrid last summer to take up the Brazil job.
He told Radio Marca: "I live peacefully because every moment has its time. I have fantastic memories of my very long period at Real Madrid and an extraordinary affection for the club and the people who work there.
"Now I'm involved in another project and I'm experiencing it with the same intensity. When Real Madrid plays a match, I'm always watching, not just to see the Brazilians, but also to see Real Madrid and help them win.
"After the match against Manchester City, I congratulated the club and the president. I also speak with the players. I spoke with Rodrygo the other day to see how he was doing. I'm in contact with them, yes."
On his departure from Real, the Italian added: "Football changes with very little, and with that, the chemistry changes. It's not just about the atmosphere, it's not just about swapping Kroos for Mbappé.
"That same year, Nacho left, (Dani) Carvajal got injured, and (Luka) Modric played less. The old generation that had created a fantastic atmosphere in the dressing room was gone, and a new generation of players had to come in, bringing character, personality, and leading by example. That doesn't happen overnight; it takes time.
"(Kylian) Mbappé's arrival coincided with two important departures, (Toni) Kroos and Nacho, creating a different atmosphere. Mbappé did fantastically, scoring around 50 goals, and the team struggled to win titles because football is about small details, and when you change something, it doesn't always work out perfectly."