It's knit from row 1 of the chart as indicated. Don't worry about the shape of the graph. You'll knit the odd number, right side rows from the right to the left and the even rows from left to right. The pattern increases with yarn overs and so the "no stitch" boxes are replaced by pattern stitches. You're knitting from the stockinette area to the lace at the edge of the scarf.
If you're in doubt, try one pattern repeat on some scrap yarn so that you can practice the sts and see the direction of the pattern at the same time. Wow, stunningly beautiful scarf!