Looks very effective and much more complicated than it seems to be from your instructions. I'm going to try adapting it to a basic waistcoat design to give the garment more "oomph".
You can use any yarn you like. Just make sure you choose the correct needle size if you change the size of yarn. Make a swatch first to see if it works. This would look great in a solid colour or variegated yarn. Don't use dark colours -- the pattern won't be seen!
I am looking fwrraod to reading about your creations. Having seen many of them in person, I know anything you design will be beautiful. Your creativity and skill produce exceptional results!