Sweater in Lace Diamond Pattern

How to knit the Sweater in Lace Diamond Pattern:
Sizes: UK 10/12 (16/18) 22/24, US 6/8 (12/14) 18/20
Materials:
650 (700) 750 g yarn (100% extra fine merino wool, 137 yds/1.76 oz); US 2.5 circular knitting needles.

Stockinette stitch: right-side rows – knit stitches, wrong-side rows – purl stitches;
in the round knit all stitches.
Border Pattern: 1 wrong-side row purl stitches, 4 rows in Stockinette stitch, 1 round in eyelet pattern (= * knit 2 stitches together, 1 yarn over, repeat from *, end with 1 knit stitch), 3 rows in Stockinette stitch.
Lace Diamond Pattern: multiple of 18 stitches + 1 + 2 edge stitches.
Work according to chart, which shows right-side rows only.
On wrong-side rows, work the stitches as they appear, purl the yarn overs.
Begin with 1 edge stitch and the stitches before the pattern repeat, repeat the pattern repeat throughout, end with the stitches after the pattern repeat and 1 edge stitch.
Repeat rows 1–32 throughout.

Gauge: 24 stitches and 36 rows = 4 x 4 in. (10 x 10 cm).

Back:
Cast on 121 (139) 157 stitches and work 1 in. (2.5 cm) = 9 rows in Border Pattern, increasing 8 stitches evenly across the last row = 129 (147) 165 stitches.
Continue in Lace Diamond Pattern.
After 17½ in. (44.5 cm) = 160 rows (17 in. (43.5 cm) = 156 rows) 16¾ in. (42.5 cm) = 152 rows from border, for armholes bind off at both sides in every 2nd row 1 x 4 stitches, 2 x 2 stitches and 1 x 1 stitch = 111 (129) 147 stitches.
After 26¾ in. (68 cm) = 244 rows from border, for neckline bind off the center 13 (13) 17 stitches and finish both sides separately.
For neckline shaping, at inner edge in every 2nd row bind off 1 x 10 stitches, 1 x 6 stitches and 1 x 5 stitches.
After 27½ in. (70 cm) = 252 rows from border bind off remaining 28 (37) 44 shoulder stitches.

Front:
Work as back, but with deeper neckline.
For this, after 24½ in. (62 cm) = 224 rows from border bind off center 13 (13) 17 stitches and at both sides of them in every 2nd row bind off 1 x 8 stitches, 1 x 4 stitches, 2 x 2 stitches and 5 x 1 stitch.

Sleeves:
Cast on 53 stitches and work 1 in. (2.5 cm) = 9 rows in Border Pattern, increasing 4 stitches evenly across the last row = 57 stitches.
Continue in Lace Diamond Pattern.
For sleeve shaping, simultaneously after border increase at both sides 1 stitch in pattern 16 times alternately in every 4th and 6th row and 10 times in every 4th row (8 times alternately in every 4th and 6th row and 20 times in every 4th row) 22 times in every 4th row and 8 times alternately in every 2nd and 4th row = 109 (113) 117 stitches.
For sleeve cap, after 13½ in. (34.5 cm) = 124 rows (13½ in. (34.5 cm) = 124 rows) 12¾ in. (32.5 cm) = 116 rows from border bind off at both sides in every 2nd row 2 x 4 stitches, 3 x 2 stitches, 2 x 3 stitches, 2 x 4 stitches, 1 x 5 stitches and 1 x 8 stitches.
After 16 in. (40.5 cm) = 146 rows (16 in. (40.5 cm) = 146 rows) 15¼ in. (38.5 cm) = 138 rows from border bind off remaining 27 (31) 35 stitches.

Finishing:
Join shoulder seams.
Using circular knitting needles pick up 118 (118) 126 stitches around neckline and work 4 rounds knit stitches, 1 round eyelet pattern as for border, 6 rounds knit stitches, then bind off all stitches.
Join side and sleeve seams. Set in sleeves.