When two amino acids form a covalent bond, it creates a peptide bond.[1] The Carboxyl group of one amino acid may react with the second amino group of the other amino acid. This essentially forms a peptide bond. Due to this process, a molecule (amide) filled with water may be released, and this reaction is known as a condensation reaction. This creates the peptide bond (CO-NH bond).
Bonds are formed following the proper orientation of amino acid chains. This is so that the carboxylic acid group from the amino acid may react with the other amino acids amine. These may create a dipeptide which we classify as the smallest peptide composed of two amino acids.