Notes on the pattern:
I like to use fingering weight wool yarn with size 1 needles because they are comfortable for me. Any size yarn or needles will work. Different size yarn will give different size ornaments. Using wool yarn and blocking after finished helps even out the pattern and keep everything neat and tidy. I just typed this up without looking up knitting terminology so most things are spelled out. I've also included some notes on how I distribute the stitches on my needles but feel free to adjust and do what feels comfortable to you so long as you follow the stitch counts.
Top:
Using contrast color cast on 24 stitches, distribute evenly on three needles and join to work in the round. Leave tail to use for loop for hanging.
Row 1: Purl
Row 2: Knit
Row 3: Purl
Row 4-21: Join Main Color and knit.
If you would like to include a pattern insert it into this portion of the main color. The pattern should be over 24 stitches and I generally like to have 2 rows of solid main color above and below. Feel free to add a few rows if needed to accommodate your pattern.
Heel:
Row 1: Change to Contrast Color, knit 7, turn work. (Place remaining MC stitch on needle with other MCs)
Row 2: Slip 1, purl 6, with second needle purl 7, turn work. (distribute the remaining MC stitches evenly over 2 needles. You will not be working with these stitches during the heel. Move all of the CC stitches onto one needle to work the heel.)
Row 3: Slip 1, knit 13, turn work
Row 4: Slip 1, purl 13, turn work
Row 5: Slip 1, knit 13, turn work
Row 6: Slip 1, purl 13, turn work
Row 7: Slip 1, knit 13, turn work
Row 8: Slip 1, purl 13, turn work
Row 9: Slip 1, knit 9, k2 together through the back, knit 1, turn leaving 1 stitch on needle
Row 10: Slip 1, purl 7, purl 2 together, purl 1 , turn leaving 1 stitch on needle
Row 11: Slip 1, knit 6, k2 together through the back, turn leaving 2 stitches on needle
Row 12: Slip 1, purl 4, purl 2 together, turn leaving 2 stitches on needle
Row 13: Slip 1, knit 4, knit 2 together through the back, knit 1, turn
Row 14: Slip 1, purl 5, purl 2 together, purl 1, turn
Row 15: Slip 1, knit 3
You should have a total of 8 heel stitches 4 on each needle.
Foot/Toe:
Row 1: Change to Main Color, knit 4, pick up 5 stitches (4 from slipped heel stitches 1 from the MC at base of heel), knit 10 (put first of 10 on needle 1, 8 on needle 2, and 1 on needle 3), pick up 5 stitches (1 from MC at base of heel 4 from slipped heel stitches), knit 4 (I knit them using the 4th needle then transfer to needle 3).
Row 2: Knit
Row 3: Knit 7, knit 2 together, knit 10, ssk, knit 7
Row 4: Knit 6, knit 2 together, knit 10, ssk, knit 6
Row 5: Knit 5, knit 2 together, knit 10, ssk, knit 5
Row 6-11: Knit
Row 12-13: Change to Contrast Color, knit 2 rows
Row 14: Knit 2, knit 2 together, knit 3, knit 2 together, knit 4, knit 2 together, knit 3, knit 2 together, knit 2
Row 15: Knit
Row 16: Knit 3, knit 2 together, knit 3, knit 2 together, knit 3, knit 2 together, knit 3
Draw yarn through remaining 15 stitches and draw tight to close.
Weave in ends on inside and tie a little loop in the top for hanging. Wet block to even out knitting (it really does make it look much neater!).
Good luck and let me know if you have any questions or if I've made any mistakes!
Here are a few of the colorwork patterns that I have used. Click to make them bigger. Please note the patterns are oriented as they appear on the final stocking. When knitting you will need to start in the upper left corner and move from left to right, top to bottom (this is the opposite direction from what you will be knitting).
Many more awesome colorwork patterns can be found here! You'll have to tweak them a bit so let me know if you have any problems.