In Hoddle's 12 league games in charge, Wolves have now drawn nine times.
The only difference with this game was that it was the first goalless draw and the first clean sheet Wolves have kept in the league for 21 games.
The latest draw has now all but ended Hoddle's hopes of mounting a dramatic late push for the play-offs.
Watford had arrived at Molineux with slim play-off hopes of their own after stunning leaders Ipswich Town with a 2-1 win in midweek.
But they could not follow up those heroics and had to settle for a sixth away draw of the season - and 14th in total.
Watford goalkeeper Richard Lee, who was making his comeback to the side after an absence of two months with a broken cheekbone, was given a gentle return in the opening stages.
All the 22 year old had to deal with before half-time was two long-range efforts from Lee Naylor that he held comfortably.
While Wolves dominated in terms of possession, the best chances of a low key first period fell to Watford.
Danny Webber set up Hameur Bouazza in the 28th minute only for the French forward to fire into the side netting from 12 yards.
Neil Cox then saw his header blocked before Wolves goalkeeper Michael Oakes dived bravely at the feet of Webber as he closed in on goal in the 41st minute.
Watford skipper Gavin Mahon sent a long-range drive just past the post nine minutes into the second half.
But that was the final time that Ray Lewington's side really threatened as Wolves made a fruitless bid to find a goal.
Kenny Miller volleyed over the bar from close range in the 57th minute after a cross from Leon Clarke who himself was denied by Lee 17 minutes from time.