CAPE

Using longer 3.5mm circular needle and MC cast on 280 (320: 360) sts. Join to work in the round, being careful not to twist sts and place contrasting colour marker for beg of round.
Rib round: *K1, P1; repeat from * to end of round.
Repeat rib round another 7 times. Change to longer 4mm circular needle.

BEGIN CHART

Knit across Round 1 of chart to end, placing a marker every 70 (40: 30) sts. You should have 4 (8: 12) markers in total. Join in contrast colour. Work Rounds 2 to 44 (47: 47) of Poncho chart for your size, working pattern 4 (8: 12) times per round, and stranding colour not in use across the back of the work. On rounds when only one colour is in use you can carry unused colour up the side of the work on the wrong side at beginning of round, or break and rejoin colours as desired. Choose whichever option gives you the neatest result - different knitters will find one better than the other!

SHAPE SHOULDERS

Now continue working from Poncho chart until you have completed Round 80 (83: 83), decreasing as shown on chart, and changing to shorter 4mm circular needle when there are not enough sts to use the longer needle. Note that the last two decrease rounds of chart are worked in MC only. If preferred, follow written pattern for these rounds as given below:

Size S only

Decrease round 74: (K2tog, K5) 28 times. 168 sts.
Decrease round 79: *(K2tog, K2, K2tog, K1) 4 times, (K2tog, K2) twice, (K2tog, K1) twice;
rep from * 3 more times. 120 sts.

Size M only

Decrease round 77: (K2tog, K1, K2tog, K2) 32 times. 160 sts.
Decrease round 82: *K2, K2tog, K3, K2tog, K1, (K2tog) twice, K3, K2tog, K1;
rep from * 7 more times. 120 sts

Size L only

Decrease round 77: *(K2tog, K2) 4 times, K2tog, K1, K2tog;
rep from * 11 more times. 180 sts.
Decrease round 82: *K2, (K2tog) twice, (K1, K2tog) 3 times;
rep from * 11 more times. 120 sts

All sizes

When Poncho chart is complete you should have 120 sts. Cast off all sts firmly with MC but do not break yarn or fasten off final stitch. Now, with RS facing and MC, pick up and knit 119 sts around neck edge. 120 sts. Casting off and picking up sts gives a stable edge to prevent poncho stretching out over time - do not miss out this step!

WORK COWL NECK

Work Rounds 1 to 41 of Cowl chart, working pattern 12 times per round, and stranding colour not in use across the back of the work.

NECK EDGING

Break CC and continue in MC only. Change to shorter 3.5mm circular needle.
Rib round: *K1, P1; repeat from * to end of round.
Repeat rib round another 6 times

MAKING UP

Weave in ends. Block gently to even out fabric, but do not stretch.