Walter Smith is confident of progressing to the last 16 of the UEFA Cup despite watching his side draw a blank against Panathinaikos.The first leg in Glasgow ended in a disappointing goalless stalemate, with the home side creating the best of the chances and then contriving to miss them all.

The Greeks would now appear to be favourites to progress to a last-16 meeting with Braga or Werder Bremen.

But Smith believes away goals against top-class opposition in the shape of Lyon and Stuttgart in the Champions League earlier this season suggests it would be dangerous to write off Rangers' chances just yet.

He said: "Panathinaikos played well and they had some nice possession of the ball. They didn't really threaten us until the latter stages but they showed enough to suggest they will be dangerous at home.

"However, we have managed to score a few goals away from home in the Champions League and we can do so again in Athens. The game will be a finely balanced one."

Smith pitched Daniel Cousin into the action with just over 20 minutes remaining but insists his circumstances have not changed.

The striker is still waiting to hear whether FIFA will sanction his £3million move to Fulham.

He has already played for Lens and Rangers this season and regulations forbid a player from appearing for more than two clubs in one campaign.

Cousin has been out of action since both clubs struck a deal more than three weeks ago, with FIFA finally set to reach a decision some time next week.

Smith said: "There is no change, the situation is the same. If we knew it would take this long, we would have played him before now and kept playing him, which would probably have been preferable from our own point of view and that of Fulham."

The best of the chances on the night fell to Nacho Novo, who made his first start since the win over Inverness on November 3, but Smith refused to blame the striker for a night of disappointment.

He said: "Like all forwards, sometimes you get situations where they go in and sometimes they don't.

"All our opportunities fell to him and it just didn't go his way. He has managed to get a few vital goals for us this season and unfortunately tonight wasn't his night.

"I said before the game that it would be a tight match. I felt we created the best of the opportunities and managed to miss the ones that came our way.

"I'm a little bit disappointed that we didn't manage to take those chances."

Panathinaikos coach Jose Peseiro believes the tie remains wide open ahead the return leg in Athens.

He said: "It wasn't a good spectacle tonight - the two teams were afraid of attack and to commit themselves.

"We had chances in the first half and Rangers had more attack and pressure in the second half. They maybe had three or four chances and we had two or three. But none of the chances were really that clear.

"The tie is not finished and I await a strong game in Athens for both teams. It's 0-0 just now and that is a danger. I would have preferred 1-1, 2-2 or even to lose 2-1 tonight rather than a 0-0 draw."

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