The Three Lions returned from Manaus overnight following their opening match with Italy in the Arena Amazonia and a 2-1 defeat against Cesare Prandelli’s side.
Hodgson was unfortunate to be on the losing side to Cesare Prandelli this time
But Hodgson isn’t too concerned about that result, given the level of England’s performance and seeing glimpses of their potential and with two games still to be played in Group D.
"We had a very young and inexperienced team on the field at the end, but they made some bold moves and didn't let anyone down," said Hodgson.
"That gives me great hope and confidence. If we can continue at that level, I think we can go on and win both matches and stay in the tournament.
"You don't win your next two matches if you win the first, and you don't necessarily lose your last two matches because you lost the first."
After a recovery day at their base camp on Sunday, Hodgson and his squad will be back on the training ground at Urca on Monday as attentions turn to Uruguay.
The South American side also lost their first game on Saturday, with Costa Rica beating them by 3-1 in Fortaleza.
And with conditions in Sao Paulo likely to be more favourable for England in comparison to the heat and humidity of Manaus, Hodgson is hoping his side can put in a similar performance to that of the Italy game.
"We will prepare for them [Uruguay] and we will try and do our best to get the win we had a good chance of getting against Italy," he added.
"It is likely to be a similar encounter to the Italy game. I think it will be cut and thrust.
"There will be two teams, who have lost the opening game and know they have to win the next one."
England will head to Sao Paulo for the game on Wednesday and the match kicks-off at 8pm BST on Thursday, live on ITV.
