[Kaderin Triste]

So...loom knitting is different (yet similar) to needle knitting. However, a lot of the smaller gauges are hard or even impossible to do with looms at the moment. But as loom knitting gains more crafters, there have been a lot more loom varieties coming out.

These are all looms. Most of them are only really suitable for bulky or super bulky yarns unless you want your project very lacy. A few of them would also be fine for Dk to worsted weight yarns and one or two could possibly be okay for sock yarns.
If I can find my extra fine gauge sock loom, I could possibly use your method for finger puopets. Not sure what I'd do with them after that though...
What size/dimensions do you make your square?