Australia can follow Proteas example

Australia headed into the fourth day at the SCG with a slender 80-run lead and with just two wickets in hand, tail-ender Peter Siddle (10no) at the crease with Mike Hussey (73no).

Watson believes his side, who trailed by 206 runs after the first innings, can still conjure up a win if Siddle and Hussey are able to push the lead to around 150.

Pointing to South Africa's remarkable SCG victory in 1993-94 when the Proteas bowled Australia out for 111 chasing 117, the optimistic Watson can sense an unlikely escape route.

"I definitely think we're still in it," he said. "It's obviously not the day that we were hoping for – it would have been nice to get at least 200 in front – but while Mike Hussey and Peter Siddle are there we still have a chance.

"Best-case scenario, I reckon 150 would be a target, and if everything goes well and we bowl well there's a chance we could give ourselves an opportunity to win the game.

"The wicket is still doing a bit. The new ball's still seaming and bouncing and some are keeping a bit low, so there's still enough there for the bowlers."

Watson's classy 97 saw him once more stand out for Australia on a day when many around him fell cheaply.

He was philosophical about falling in the 90s for the third time in his short Test career, the opener gloving a rearing delivery from Umar Gul to Faisal Iqbal at second slip.

"I'm not really worried about it. I was really happy with the way I batted," he said.

"Of course it's always nice to try and break that 100 barrier but I suppose I'm lucky I didn't get that ball earlier in the innings otherwise I would have been out.

"There was always a chance I could get a ball like that and unfortunately I got one when I was in my late 90s. It's just one of those things."

Pakistan leg-spinner Danish Kaneria, who took four second-innings wickets, acknowledged the game was far from over.

Kaneria helped reduce the hosts to 286-8 at stumps on day three, before limping off the field with severe cramp in his left leg.

He said: "Tomorrow's a new day and let's see how it goes. No matter if they get 120 or 130, we need to chase it down. We have a whole day and I and our team is very confident of our batting line-up. We will come and play very hard cricket."

Seam bowler Sudeep Tyagi has been named in India's 16-man squad for the two-Test series against Bangladesh.

Tyagi, 22, rose to prominence with strong performances for the Chennai Super Kings in the Indian Premier League. He made his one-day international debut in the abandoned one-day game against Sri Lanka at the Feroz Shah Kotla last month.

Subramaniam Badrinath has been dropped in favour of wicketkeeper/batsman Dinesh Karthik.