Where normal knitting uses knitting needles and is used to generate a wide pattern, finger knitting just uses your own fingers and generates a string. It's nice for a small bracelet or a necklace which is more protective of the skin than just a normal piece of string.
Finger knitting starts with a loop in the string, the higher part of the string gets pulled through in a loop and the old loop gets thightened. That way a new loop gets created on top of the previous loop. The disadvantage is that the loop gets twice in size every time so you will need to reduce the size of it after two or three iterations.
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Did you know that NSW has a geocaching association? Geocaching NSW aims to enhance and improve the activity of geocaching and holds regular events where geocachers meet to enjoy their common interests. Visit the association website here.