The chart is in there. I am loathe to post it as it has a copright.
See that makes sense I was trying to figure out how to get theyarn where it needed to be in some arcane manner that I had yet to actually figure out. You're explanation is much simpler.
Yup, as I thought, that black square means no stitch. (Did you see the legend just below the chart?)
However, this chart is not written very clearly, in my opinion, and it doesn't really give a very clear idea of how the knitting will progress. I like it when the chart will actually show you the design, and you can see directly what it should look like. Here, when you have 3tog on row 7, directly above it should be a K1, since that is how you will work it. In the chart, it looks as if the K1 is directly over the YO, and one can easily get really confused because your knitting will not look as it appears on the chart! It would help if you had the even purl rows there to guide you, but we just have to go with what is there, and after a few repeats, it will make a whole lot more sense.
In this case, it just may be better to use the written instructions for the first time around, comparing it to the chart, until you learn what is supposed to be happening, and then just follow the lines created in your knitting, and forget the chart altogether. Read your knitting. Lace is rather easy and predictable most of the time anyway.
The total number of stitches is being reduced in the last two rows of the pattern (top two lines of the chart). Notice that in the next to last row there are 8 yo's but 12 decreases. Just ignore the solid black squares and begin the next to last row with K3tog, ending with sl-k2tog-psso.
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