I'm really sorry, but I think I'm still a little confused. :shrug: Please bear with me!
I understand what you said, salmonmac, about increasing the reverse stockinette panel as I go up the back, but I'm not sure where to put those increases.
Here's what the pattern says:
"Cont in patts (Diamond Lace Pattern) as established, and AT THE SAME TIME increasing 2 sts by working a p-inc into the outermost st within each Rev St st panel on the next 7th row, then every 8th row 3 times = 73 (77, 81, 85, 89) sts."
Here's the Diamond Lace Pattern:
Worked over a multiple of 10 sts + 1.
Row 1 (WS and all other WS Rows): Purl.
Row 2: K2, *k2tog, [k1, yo] 2 times, k1, skp, k3; rep from *, ending last rep with k2.
Row 4: K1, *k2tog, k1, yo, k3, yo, k1, skp, k1; rep from *.
Row 6: K2tog, *k1, yo, k5, yo, k1, sl 1-k2tog-psso; rep from *, ending last rep with skp
instead of sl 1-k2tog-psso.
Row 8: K1, *yo, k1, skp, k3, k2tog, k1, yo, k1; rep from *.
Row 10: K2, *yo, k1, skp, k1, k2tog, k1, yo, k3; rep from *, ending last rep with k2.
Row 12: K3, *yo, k1, sl 1-k2tog-psso, k1, yo, k5; rep from *, ending last rep with k3.
Rep Rows 1-12 for pattern."
So would I increase for the first time in the 7th row (meaning the row marked as #7 in the Diamond Lace Pattern), and after that, increase every row marked as #8 of the Lace Pattern, and do that last part three times, until I have the right number of stitches??