It start when cells of the most dorsal region of mesoderm condense to form a rod of cells called notochord. Notochord cells form chemical signals to redirect the fate of ectodermal cells above it to not form epidermis. The cells above the notochord become the nervous system cells. The cells change shapes, rise up from the round body. The embryo now becomes the neurula. The neural precursor cells elongate, stretch, fold and form a neural tube. The future epidermal cells of the back cover the neural tube.