We'll explore how market makers provide liquidity and generate profits by walking through the complete lifecycle of a trade. Our journey begins with understanding price formation and quoting, moves through trade execution, and continues into the crucial post-trade phase where risk management becomes essential. Finally, we'll examine how positions are unwound to realize profits. By walking through this process step-by-step, you'll gain unique insights into the inner workings of exchange trading and understand the critical role market makers play in maintaining efficient financial markets.