Many (most?) users have trouble creating edge profiles in the Part Editor.
One reason users experience confusion and frustration in this area is that the part cannot be rotated within the Part Editor. Because of this, you have to create tools with different orientations and select the correct tool path starting point to achieve the desired results. Sometimes the material being profiled will be blue, other times it is yellow. Sometimes you need to use a right offset, other times a left offset is needed.
I have created a short document that should help take some of the mystery out of this operation.
Gary Puckett wrote:...That has always confused me on where the cutter was cutting...
You are not the only one confused by edge profiling Gary. This is the method (and same tools) I used to figure it out way back when. The only problem is, if I don't use it for a while, I have to figure it out all over again.