Knitting a small dog sweater on a knitting loom might seem difficult, but it is one of the easier things you can make on a loom. A basic loom-knit dog sweater is just a round tube with holes. If you have familiarity with a few loom-knitting techniques and a basic guideline for making the sweater, you can knit a dog sweater quickly and easily.
E-wrap your loom. Wrap each peg twice, then use your stitch pick tool to lift the bottom stitch over the top stitch. For the second row, wrap each peg once; you won't need to wrap twice because you will already have a loop left on each loom. Do this until you have about 4 inches of knit garment.
Go around the knitting loom and use your pick tool to bring the loops from the first row back onto the pegs. Then, go around and lift the bottom loop over the top loop that you just put back onto the loom. This will give you a folded-over piece that will be the collar for your small dog sweater.
E-wrap your loom again for several rows. You will want about three to four inches of garment after the collar. This is the neck and upper chest of your dog sweater.
Hold your loom in front of you. Find the halfway point on each side of the loom. To make arm holes you will need to bind off a few stitches. On a 31-peg loom you will start binding off on peg 10. Move peg nine to peg 10 and lift the bottom peg over the top. Then move peg 10 back to peg nine. Move peg eight to peg nine and lift the bottom loop over the top loop. Move the loop back to peg eight. Move peg seven to peg eight and lift the bottom loop over the top. Move the loop back to peg seven. Do this same process on the opposite side of the loom from pegs 20 to 24.
E-wrap all the pegs for several rows. This will be the body of your sweater. The length will depend upon the length between your dog's arms and mid-belly. Measure this with a tape measure on your dog, and make enough e-wrap rows to create that length.
Bind off your loom once your sweater has reached the desired length. To bind off using the flat method, start at peg two and move it to peg one. Lift the bottom loop over the top, and then move the loop back to peg two. Move peg three to peg two, lift the bottom loop over the top and move the loop back to peg three. Do this all the way around the loom until you have just one loop left. Cut your working yarn from your skein, leaving a six-inch tail. Take a loom-knitting pick tool and wrap the tail around the hook to create a loop. Pull the bottom loop through the loop on your crochet hook. This will create a knot.
Use an upholstery needle to weave the tail from the working yarn into the garment.