The primary setting of this poem is inside an allegorical dream, which is used to explain a psychological and emotional process or the world of the mind.
Most of the action takes place within a walled garden beside a river during springtime. Springtime is a symbol for youth, with the walled garden representing either the court or else the Kingdom of Love. The garden is filled with beautiful people dancing and is ruled over by Sir Mirth, alongside Cupid or the God of Love.