Ok, this tutorial is very similar to the one posted here: http://www.jewelrylessons.com/tutorial/orange-circular-pendant (this is also a free tutorial). The difference in the next set of beads is that instead of regular drilled beads, these are rose-montees, which are rhinestones set in prongs.

If you look at the other tutorial, you will see that you simply slip the montee through the wire and wrap it around the frame.

Make sure the montee is sitting neatly at the front of the frame.
Enjoy,
Eni

Thanks Eni for explaining, it makes more sense now. Love your work!!
sonia