Nuno Espirito Santo’s team will make the short journey across the Midlands aiming to bounce back from Tuesday’s 4-1 defeat at Manchester City.
Though Wolves had been on a five-match unbeaten run prior to visiting the Etihad, they remain in the bottom half of the Premier League and will likely require a victory over their rivals to revitalise hopes of at least a top-10 finish.
Coady said: “It’s a massive game for us on Saturday. We need to learn from Tuesday. We are a young team which is learning every single week, every single day in training.
“We will look at where we went wrong on Tuesday because we did go wrong. We conceded four goals and we don’t want to do that.
“We will learn, improve and look forward to Saturday because it is a massive game for everyone at the club.”
Coady felt Wolves were dealt a harsh lesson at City after conceding three times in the final 10 minutes.
On the back foot for most of the evening, the skipper’s first career Premier League goal had brought the scores level just past the hour mark and briefly sparked hopes of a remarkable result against a team who have now won 21 straight matches in all competitions.
Coady continued: “There was a belief from the start of the game at City. It might not have looked like it at the time but you are going to a world class team and you have to bide your time.
“We knew they would have lots of possession. When we had possession we needed to use it well and I thought we did that in the second half.
“It is massively disappointing, from where we were in the game around 80 minutes, to come away losing 4-1. It is something we need to learn from quickly.”