Pools recently ended a 22-game winless run and in their last five matches have won two, drawn one and lost two in League One. They are currently 10 points adrift of safety at the bottom of the table.
When asked about the level of quality in the squad he inherited from Neale Cooper in November, Hughes said: "There's been a bit of both to tell you the truth.
"With one or two of them I've been impressed. There are good players here, good technically and there are also one or two who I feel could have done a little bit better.
"But for the individual to shine the team dynamics have to be right and we're just starting to get to that point, to get a system in place that suits us.
"The players should have more belief now so hopefully we'll start to see some more players coming into their own.
"We're beginning to be hard to beat and hard to play against. The players are beginning to know what their job is exactly and when this is in place we can start to build some momentum."