I'm still not 100% sure of what this stocking will look like in the end, but I have cast on and started working.   I'm thinking of just doing the stocking in red and white and leaving out the blues.  Here's a reminder of what Joe and my stockings look like (just scroll down to the last picture)- I think it will blend nicely with just the two colors. 

I am incorporating the motif from her 1st Christmas dress, thank you so much for the idea!