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Ply refers to the number of strands a yarn is composed of. The term ply is misleading. Some people assume that the more plys a yarn has, the thicker it is. Not true. Some bulky yarns have only 2 plys and some multi-ply yarns are as thin as baby/fingering weight. It is better to look for yarn in terms of weight such as baby, sport, worsted, bulky, super-bulky. These refer to the thickness. This is also how most yarns are labeled.
The direction in which the yarn is spun is called twist. Yarns are characterized as S-twist or Z-twist according to the direction of spinning (see diagram). Tightness of twist is measured in TPI (twists per inch or turns per inch). Two or more spun yarns may be twisted together or plied to form a thicker yarn.