I like to use a yellow pencil because it's easier for me to see the direction of the fall line with the yellow colored pencil from the spot where I am chipping from.
From there, hit about 3 or 4 shots with the goal of leaving the ball below the cup and to the right of the fall line. After hitting the shot, try and make the follow up putt with your putter. One thing I noticed was how much easier it was for me to get up and down when I left the chip in the right spot. I could leave a chip to 6 feet in the correct quadrant of the fall line and make that much easier than a 3 footer in the "North West Quadrant."