Hmmmm, am no expert but it looks like how mine came out first time when I had the tension too low. I have a Pfaff Hobby 1122 For normal sewing the tension is on 2 or 3, but for FMQ it is best on 5. I was advised (on this site of course!) to play and practive with your settings until you get the right results. Then make a note of how you had it all set up so in future you don't have to 'trial and error' again.
Good luck, and post pics when you get it down!