I would sand your blade to higher than 400 grit before etching; at least 600 grit. Clean the blade well, and make sure all oily fingerprints are gone. Then, use a very diluted solution of Ferric Chloride/distilled water mixture; no more than 25% Ferric Chloride. You want the solution to etch at different rates; a strong solution tends to etch everything at the same rate, and that's not what you want. Hotter water in your mix, makes the solution etch faster. Etch for a couple of mins, then rub the oxides off with paper towels or 0000 steel wool. Do this multiple times, until you can feel the pattern with your fingers. When blade is etched as deeply as desired, neutralize with ammonia windex, baking soda, etc... Then, get some 2000 grit sandpaper and VERY lightly rub down the blade, to bring out the different layers. This step really makes the pattern pop out, IMO. Some makers lightly buff; it's up to you. Make sure to oil the blade afterwards, too.
Damascus is fascinating stuff; be forewarned, it can be addicting to work with.
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