The captain spoke to the media at the Bernabeu on Monday evening ahead of tomorrow night’s Group H fixture.
La Liga champions Madrid clinched their 12th European Cup/Champions League crown against Juventus in Cardiff in June.
Both teams go into Matchday Three with two wins out of two against Borussia Dortmund and APOEL.
“We have built confidence as a group from the results against Dortmund and APOEL, but nothing has been done yet,” said Hugo.
“There are a lot of games ahead and this double confrontation against Real Madrid will be very important for us.
“It means more because it’s a great opportunity for us to challenge one of the great teams in the world, actually, the best team in the world in the last few years. We are still a young team. We are still improving, developing and these games can help us reach another level.
“The most important thing for us is to be ready to compete and we will try to play as we usually do, try to be dominant, aggressive from the start and try to enjoy it because it’s a fantastic place to play football.”
Naturally, Hugo was asked how we plan to stop Cristiano Ronaldo.
“He is an amazing player, what he’s achieved in his career is fantastic,” added the goalkeeper who beat Madrid over two legs in the 2010 quarter-finals with Lyon.
“We will try to stop him as a team but Real Madrid are not only about Cristiano Ronaldo, they have great talents and great players who can create chances from everywhere on the pitch. We expect a tough game and we’re all looking forward to it.”