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The story takes place in the Hokuto No Ken manga which covers up to Raoh's story with a total of 22 chapters.
The game takes the player through a bunch of manga panels. Sometimes, certain stylus actions are prompt on screen. When successful, the manga will go on. If not, the player must try again until he is successful, or he runs out of lives as shown by the big dipper constellation on the stop screen. During fight sequences, players must tap the hit marks shown on the enemies within a certain time frame. The longer the player goes on without missing (by inaccurate tapping) or running out of time, the better score he achieves. Eventually, the player may be able to control Rei with his Nanto Seiken style. Instead of tapping, you must stroke the stylus much like cutting with a knife to simulate the Nanto Seiken martial art.
There are also games modes that can be played: