The 21 year-old midfielder has played 13 of 14 Castilla games this season and is yet to make his first team debut.
Theo is the son of former Real player and coach Zinedine Zidane.
Ancelotti said in his preview yesterday: "Nico (Paz) and Gonzalo (Garcia) have played and Mario (Martin) will be in the call. Theo may be there too.
"I have a lot of confidence in them and Raúl is doing a fantastic job."
Theo, standing at 1.96m tall, could become the third son of Zizou to make his debut for Real after older brothers Enzo and Luca.