A teddy bear will be a wonderful gift, a hand-knit one even more wonderful. That's really a sweet thing to do.
I'm working on Henry's Rabbit. I needed something quick to grab as I left this afternoon knowing I'd have several hours to fill. Anyhow, it's written for DPNs and I'm doing ML. I started by placing a marker at the end of each needle's set of stitches. The pattern calls for 16 sts on 3 needles, so I knit 16, placed a marker, knit 16, placed a marker, knit 16 placed a marker. The marker at the beginning of the round is different so that I can easily recognize it. All the increasing in this pattern is done on one needle and I started looping so that it was separate from the other two sets of stitches. After a while I moved the loop so that the stitches on the increase needle portion are more comfortable to work with but I could still count the stitches easily. Does that make sense? If not, please say so. Someone will clarify.