Atletico have been in the quarter-finals of the Champions League for last three years and have progressed to the finals twice, losing to Spanish rivals Real Madrid in both finals.
"I think Madrid (are favourites) given their history over the last couple of years of participating in the Champions League. We're here for the first time in our history," Fuchs told the club's website (www.lcfc.com).
"I don't think anybody wants to come here against Leicester. Nevertheless, we're still the underdogs and we'll still try to take our chance."
Once relative Champions League unknowns, however, Atletico are now true European giants and will provide the sternest test yet of Leicester's fairytale continental adventure. Fuchs praised his team mates for what they have achieved so far.
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"It's already a great achievement – Leicester City playing in the Premier League and the Champions League... we'll see how the game goes," Fuchs said.
"We're very focused on that for now so let's see how the game ends. We always try to give everything."
After Tuesday's match, Leicester have a short break before they travel to Arsenal in the Premier League on April 26.
(Reporting by Aditi Prakash in Bengaluru; editing by Sudipto Ganguly)
