It is like you are building a pyramid in which the stitches of one row dovetail neatly between the stitches of the previous row. The pyramid gradually increases until you have reached the full diagonal dimension of the one-inch square, at which point the lengths of the rows will be decreased, instead of increased. The continental and basketweave stitch each have their advantages, each in their own way. The only time you should use the continental stitch is for putting a single row of stitches, in any direction. The basket weave stitch give depth and reality to a canvas, and stability to the finished product.
Basket weave is used by most topnotch needlepointers.