Brazil's football federation has invited Muricy Ramalho, the coach of Brazilian championship leaders Fluminense, to take control of the national team.
Ramalho held talks with Ricardo Teixeira, the Brazilian Football Confederation president, on Friday, but said he needed to speak to officials at Fluminense before making a decision.
"Nothing is decided because I still have a contract with Fluminense," he said in a statement.
However, the ESPN sports news website reported that at the end of the meeting with Teixeira, Ramalho said: "Who wouldn't want to coach the Brazilian national team?"
Brazil is searching for a coach to replace Dunga, who stepped down after the national team's quarter-final defeat to The Netherlands in the World Cup in South Africa.
Dunga, in charge for nearly four years, was criticised for producing a Brazil team which lacked style but Ramalho is not expected to be much different.
Although Ramalho took Sao Paolo to three consecutive Brazilian championships between 2006 and 2008, his team were renowed for their physicality and criticised for being unattractive to watch.
Apart from brief stints in Mexico and China, Ramalho has spent his entire coaching career in Brazil since starting out in 1993. Fluminense, which he joined in April, is his 13th club in the country.
Between 1973 and 1979 Ramalho played for Sao Paulo as a midfielder, scoring 267 goals in 177 games.
On Monday, Brazil has to announce its squad for a friendly against the United States in New Jersey on August 10.