I am using the In the Attic yellow flexible loom, and Isela's Curly Q pattern, which is way easy to do. http://isela.typepad.com/loomknitting/curly-q-scarf.html
I am using a yarn that is textured and I think this gives it a lot of interest as well as the curl. You have to knit about a foot or so to start seeing the curl, but believe me it is so much fun to do.
<--This is my loom set up...