Barcelona is a strong opponent of Real Madrid in this season. It is not impossible for Barcelona to win league title. Besides, Real Madrid isn't playing so good till now. But Real Madrid is a team that has ability to come back quickly. Ancelotti has enough time to implement his best strategies.
It's a bit unfair to think that Real Madrid is weak this season just because of the two defeats Real Madrid have suffered so far and besides, Real Madrid's point gap with Barcelona is also only three points, which Real Madrid still has a chance to match and overtake. So in my opinion it's a little inappropriate to judge Real Madrid not playing well at the moment if you only look at the two defeats or the two draws that have happened to Real Madrid so far.