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Roger Federer beaten by Nick Kyrgios in Madrid Masters second round

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Nick Kyrgios produced a stunning 6-7 7-6 7-6 win over Roger Federer in the second round of the Madrid Masters

Roger Federer has suffered an early exit at the Madrid Masters after losing a three-set battle against Nick Kyrgios.

The Swiss top seed saved five match points during a gruelling battle, but an overhit forehand condemned Federer to a 6-7 7-6 7-6 defeat in the second round, the Australian youngster winning the deciding tie-break 14-12.

Kyrgios was claiming the second top 10 scalp of his career, having beaten Rafa Nadal at Wimbledon last summer.

The 20-year-old broke Federer in the very first game, but his experience shone through in the 10th game as Kyrgios served for the set, and he broke back to level at 5-5.

A tough 42-minute set was finally ended in a tie-break, which Federer won for the loss of only two points, and he appeared to be on his way into the third round when he broke the Kyrgios serve to start the second set.

But Kyrgios was in no mood to lie down, breaking back to lead 3-2 and his aggression in a second tie-break paid off as he levelled the match by taking it 7-5.

Service was on top throughout the deciding set - Kyrgios ended with 22 aces to Federer's 17 - and it set up a tense tie-break that included plenty of chances for both players.

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But it was Kyrgios, who saved two match points of his own, progressing to the last-16 thanks to a wild Federer forehand, and he will face big-serving American John Isner.

"I think he's the greatest of all time. I knew before the match that I would have to play one of the greatest matches I have ever played, I wasn't intimidated at all," Kyrgios said after the two hours 37 minutes marathon.

"I have a lot of respect for him. It was just another tennis match, it was a chance to go out there and enjoy yourself and I happened to get the win."

Federer added: "I couldn't return his first serve, I had a horrible performance on return of serve. That made life difficult for me. 

"I'm disappointed with how I played on returns, and that cost me the match."