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Dragonfly Hat

Using 4 mm needles and double knit wool
Cast on 28sts in a green colour
Knit 2 rows
Change to sky blue wool and starting with a knit row, work 14 rows in SS
(K2tog) rpt to end (14sts)
(P2tog) rpt to end (7sts)
B & T

Making Up:
Sew a dragonfly button on to the hat using matching cotton.
Have a look here for the buttons
Take a length of black wool and untwist it, so you can work with a single strand.  The wool I used had 3 strands all twisted together. 
Using this wool, work a running stitch from under the dragonfly, create a loop-the-loop pattern and then continue the running stitch around the back to the edge of the knitting.  Fasten this end off.
Finally, oversew the row ends and turn inside out.