The first section of recreation was quite simple but if you broaden your gaze you can see more than 1 square. I can see 2 squares on all the lines but the recreation of squares with the diagonals. The first diagonal line you see is quite easy to figure out but the other lines are not as easy but I have found a trick, the length of the diagonal line is the same length as one the sides. All you have to do is count the number of dots in the diagonal line, go to one edge to the diagonal line, count the number of dots up, make a little mark and join the edge of the diagonal line with the mark you have made. The other two require a different process, actually it is quite simple you just find the centre of your diagonal line and go from there away from the line in a straight line and the first point you come across is where 2 lines meet for the square. Then join the point to the 1 edge of the diagonal line and you have a side! How easy was that. Not all diagonal lines that join two grid points make a square. If you take a piece of square dotty paper and join up any 2 dots it will be hard to find the square, as there might not even be a square.
I agree with the fact that a straight line can be the side of many different rhombuses but to me I see no real way of determining how many rhombuses go to one line as you could have over 10 rhombuses using the same straight line and have a different line with as little as 2 rhombuses on that straight line. I also agree that the diagonal of one rhombus can have the same diagonal line as infinitely many other rhombuses as if you take on line you can keep editing the size of the rhombus without actually changing the length of the diagonal.