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I use a variety of pencils to accomplish all the shading, but my favorites are an HB, H, 2B and one that's so old that it's letters have worn off, but I think it must be something very hard like a 4H or so because it makes very light marks that are more like scratches. This actually scars the paper and when you go over it with a softer pencil like the HB hair texture appears. Just in case you don't know an HB is the familiar #2 pencil we used in school. A 2B is softer and makes a dark mark and H is hard. Starting with the harder pencils I lay in hair patterns and then build on those with softer pencils to get the texture and values right. I'm simplifying it a lot here. The process does take some time and a little patience, but if done right can create some awesome detail and depth.
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This last photo just shows my work area. I have all my reference laid out along with all my pencils. It looks a little messy and cluttered, but works pretty well for me. I will be working along on this for the next few days and will include another post before I finish. Hope you enjoyed this little peek into the process!