AC Milan are confident they can still reach the last four of the Champions League, despite conceding two away goals in Tuesday's quarter-final, first leg draw at home to Bayern Munich.

Bayern have the upper hand in the tie after Daniel Van Buyten's goal in the third minute of stoppage time - his second of the night - secured a precious 2-2 draw for the German visitors.

Milan need a victory or a higher-scoring draw in Munich next week, and Carlo Ancelotti believes the six-time European champions are still very much in the tie.

"We certainly could have done better tonight and we conceded two soft goals," said the Milan coach who will be without Alberto Gilardino for the second leg after the striker picked up a yellow card.

"It's not a positive result, but we have it in us to win in Munich," said the left-sided Czech midfielder.

Bayern handler Ottmar Hitzfeld was ecstatic with his side's performance.

"We played brilliantly for 70 minutes in the manner we controlled Milan," said the veteran coach, whose return to the club after Felix Magath was sacked earlier this season has heralded a resurgence in their form.

However, he said that the second leg would be a tough examination.

AC Milan had appeared to be on their way to a controversial win when Kaka had tucked away a highly dubious penalty in the 84th minute, awarded after he had gone down in the box after a sliding tackle from Lucio.

Belgian defender Van Buyten popped up right at the death to capitalize on some slack Milan defending and Bayern left the San Siro with two vital away goals.

Milan only had a rare headed goal from Andrea Pirlo to show for a first half of intense pressure that should have yielded more for the six-time European champions.

Bayern equalized in the 78th minute, Van Buyten prodding home from close range after Milan had failed to deal with Hasan Salihamidzic's cross.

Bayern host the second leg in Munich on April 11, and the winner will play either Roma or Manchester United in the semi-finals.

Editor: Donald