Fanning the Flame Socks and Mittens - Knit in modular shells and make mittens or socks.  Pattern from Heartland Knits.  Yarns used for socks, Koigu or Plymouth's Happy Feet.  Yarns used for Mittens, Plymouth's Buckingham (Alpaca/Silk, ahhh....) or Araucaria's Ranco.

Fair Isle Hat - Try knitting this great hat from Charlene Schurch's book HATS ON!.  It is knit with Brown Sheep's Naturespun and Noro's Silk Garden.  The Silk Garden produces the color changes, you only have to work with 2 yarns to get these great effects.

Try one of these fun mitering projects

Elizabeth Zimmerman's Baby Surprise Sweater

Before  

After a few folds and two seams - The Surprise Jacket

This sweater is fun AND easy to knit.  Knit in one piece, a few increases and decreases. Bind off, fold into shape and sew two seams  - A sweater!  Pattern available for adults too.