But the big Danish keeper says their battling display in the Spanish capital has shown they also have a good ‘chin.’
The Foxes were knocked to the canvas just 28 minutes into the tie when they fell foul of a wrong call on a penalty.
Referee Jonas Eriksson judged that Antoine Griezmann had been sent crashing in the box when replays clearly showed Marc Albrighton’s challenge was outside.
The stand-in skipper says the way Leicester resolutely refused to buckle has given Atletico plenty to think about.
For all Atletico’s domination of possession, Leicester kept them at arm’s length and restricted them to largely long-distance efforts.
Dramatic images as Leicester City fans CLASH with police in Madrid Wed, April 12, 2017
Photos and video from Madrid show riot police confronting Leicester fans as blue smoke flares are set off and chants can be heard.
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Schmeichel said: “We felt really hard done by but we knuckled down and made sure it didn’t turn into more.
“We were gutted but at half-time we just said that while we wanted to go out and win the game it was a case of ‘Right, the worse result we come away with is 1-0. That has to be the worst.”
“The goal changed the game, but that’s the way it ended up. We just wanted to bring them back to the King Power with us still in with a chance.”
He added: “We’re still in the tie and that was the aim. Very disappointed that such a big decision went the wrong way for us.
“I’m still so proud of the boys that we battled so hard out there. It’s a tough place against a top class side and in difficult conditions with the heat.
“It really should have been 0-0. We had a game plan and it got…I’d better choose my words carefully here. Let’s say it was changed by external circumstances.
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Kasper Schmeichel has backed Leicester to salvage their Champions League dream
“We stuck to it – we made sure it didn’t turn into two. It was tough out there.”
Schmeichel says The Foxes won’t have any inferiority complex going into the deciding 90 minutes.
He added: “You can’t take more belief from this than we already had. We’re not lacking belief. Like I said . . . it should have finished 0-0. The only goal they scored was a penalty and it wasn’t a penalty, so . . .
“After suffering that, I thought we played really, really well. Obviously we didn’t create enough chances but when you play against a team that’s been in the final two out of last three years then you know chances are going to be few and far between.
“When they do come you have to put them away. We didn’t quite manage that today but I’m so proud of the way we performed.”
Schmeichel is adamant that with the crowd behind them at the King Power they can turn the tie on its head like they did against Sevilla in the last round.
Antoine Griezmann scored as Atletico Madrid beat Leicester on Wednesday
“Why not. We certainly don’t lack belief. I’ve always said ‘Why not?’ European nights are something special especially the home nights. The crowd have really responded to them and have been fantastic.
“It’s amazing to play in them and we’re really looking forward to it. There’s a place in the Champions League final on the line.
“There couldn’t be a bigger incentive and I know everyone is very much up for the fight.”
They’ll have to do it without their recognised central defensive partnership of captain Wes Morgan and Robert Huth.
Huth was booked and so definitely misses the game while Morgan is rated extremely doubtful with a back problem.
Schmeichel added: “Obviously those two are such massive characters who are hugely influential on and off the pitch. From a personal point of view I’m gutted for both of them.
“But we saw Yohan Benalouane come in for Wes and he’s done a great job. You have a squad to use the strength in depth and we’re going to have to do that.”