A system and method for treatment of thread includes a thread printer that applies colored coatings to thread. A camera is positioned to capture images of the treated thread after it passes through an outlet of the thread printer. The system processes the images to determine whether the location of a selected segment of the treated thread corresponds to an expected location. If the actual location of the selected segment corresponds to the expected location, the system will continue instructing the thread printer to selectively apply the colored coatings to the thread according to the pattern. However, if the actual location does not correspond to the expected location, the system will modify the pattern so that thread printer adjusts the size of one or more segment to automatically account for the misalignment.