Yarn Over, abbreviated as YO. In needle knit patterns, it can also be referred as yarn around needle (YRN), yarn forward (YF), and wool around/over needle (YON). This type of increase creates a small hole in the knitting, within the row where you create the increase.
To create the YO, simply e-wrap the peg counterclockwise.
Working with YOs: When a pattern calls for a YO within the knitted fabric, we are going to need to move the stitches outwards to create an empty peg where we want the YO located. In the video shown, I demonstrate how to increase within the fabric. There are two methods: First method: move the stitches out to create the empty space then knit the stitches and e-wrap the empty peg. Second method and my preferred method when only increasing one stitch is to knit the stitches and move them to their new peg after I have knitted them (as shown in the video). When the pattern calls for a YO at the beginning of a row, it is quite simple, just e-wrap the next adjacent empty peg to the first/last peg of the fabric.