Abstract: A circular dial and cylinder knitting machine equipped for the forming of pouches with reciprocating motion with inclusion and exclusion pickers. The machine includes in combination: descent cams for needle butts and descent cams for selection jacks at each feed; cams for the raising of the selection jacks (and thus of the needles) for each feed. The raising cams are at different levels to act on butts at these different levels in the selection jacks and remain fixed during the forming of the pouches. The selection jacks include, for the forming of the pouches with a reciprocating motion and with several feeds, butts at a first level coincident with the entire arc of needles arranged for the forming of the pouch and butts at additional levels on smaller arcs offset from one another. The exclusion and inclusion pickers act on the first level of the jacks butts. The dial and cylinder needles can cooperate to form rib fabric with loop transfer. The loop transfer location can be proximate an active yarn feed.