Sometimes I whip edges with wool fabric or wool yarn, have used wool covered cording and wool on the back, also used the standard woven cotton rug binding and this way when wanting to hang on the wall.
The traditional cotton binding is only 1 1/4" wide. Reason that I like using a heavy stock fabric (like a cotton twill) for the cotton binding is that I can cut it 3 1/2" wide for a more substantial coverage and sew a sleeve at the top. I rip straight of the grain for this system.
You may need to refer to yesterday's post to clarify the first steps taken, however, these are those lines drawn on yesterday's post.
In the photo above and the one below you can also see that black line which is drawn 1/4" away from the edge of the design. So you would lay your binding fabric facing away from your hooking area so that when it is stitched on it would fold toward the back of the rug.
You need to place the binding fabric up to the edge of the newly drawn 1/4" mark, pin it in place and stitch 1/4" away from that edge. That is the standard sewing edge and if you know your way around a sewing machine you should be aware where the sewing foot would rest to accomplish that. Here is a visual.
And another.Below is another view where I've pulled back the edge so you can see where it was stitched down and where the 'sewing edge' is.