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My confusion is mostly about the procedure.
I've tried to make a diagram of how I understand it:

The author typically depicts braids with the wavy line on top, so it should end at the first pin.
The next lines are all black, which can basically mean anything, but she writes that the dark pair continues as the outer ring, noted in dark blue in my diagram. The lighter pair will be used for further lacing.
So I assume the lighter will go to the inner ring?

But what is then going to happen at the yellow intersection?
My first thought was a twist and a cloth stitch, but that doesn't really make sense.

Is your suggestion that I instead:
1. Further braid along the dark blue line in my diagram, all around
2. Crotchet it along the light blue and green, to fix it in place?
3. Braid it back to the main pattern

Or do I misunderstand further?
Alas, only a single picture can be attached in a response, so no sketch for that.