The classic set is knees bent, elbows bent, use 1st 2 fingers and thumb of both hands to control the ball, bring ball down towards forehead, then push with everything, knees, elbows, ankles, toes, wrists, and fingers.

More detailed:
Start by having someone toss you a high ball. Position yourself under it so that if you do nothing it will hit you in the forehead. Catch the ball with the 3 fingers of both hands and bring it down slowly to your forehead, as you bring it down, bend your knees. Touch the ball to your forehead and stop. Now push the ball up using your knees to push as well and send it back to your partner. You can also do this without a partner by setting the ball straight up so that it comes straight back down to you. Practice this slow step by step until it is natural and ingrained. This will help you get the proper technique, and that is what will make you a better setter. Then go ahead and start setting normally and without touching your forehead, by catching the ball with your 3 fingers with your elbows and wrists and knees already bent and then just flick it up.

Once you have the proper technique down and are doing it correctly every time, then try setting to yourself by setting the ball to a target about 10 feet away, then run under it and turn around and set the ball back to where you started. This will teach you to run after a bad pass and always be the one to get the 2nd hit.

Finally, don't forget to learn the game, learn to read the other team to see how they set up on defense, be able to tell your hitters where to get ready for your set, and what kind of hit they should use, by reading the blockers. Be able to tell your defense what kind of attack to expect. The setter is the floor leader. They control the floor and the attack. If you want to be a good setter learn the game.

Good skills and hard practice to you.

I am a former Div. I college player and former college vb coach. Few tips: form a triangle with your hands, index fingers and thumbs. Keep them about an inch or two apart. Keep fingers spread making big hands. Then act like you are forming your hands around a ball. That is your starting position to receive a ball. When ball comes into your soft hands, absorb it with soft wrists and perform a quick catch and release action. This Just takes lots of practice, set a ball 100 times a day at home and your hands will improve tremendously. Margaret, Owner of Female Athletes First.com

Ikea,
I prefer teaching that all fingers and the thumb make ball contact. Usually the pinky does not. Make your hands in the shape of the ball and keep the distance between the pointer fingers and the thumbs equal-usually at about 1-2 inches depending on the size of your hands. Otherwise your elbows will flair out or squeeze in too much. Usually set with your right foot forward to keep you from jumping into the net on a bad pass. Jump-set as often as possible-yes even as a beginner. Eventually you will jump-set nearly every ball.

Dear Ikea,
I have played setter for two years. My coach's taught me to to have your thumb and your index figures pointing toward echother. Arch your figures so like your making claws. your figures should make a diamond. Than squat down and push out when the ball touches your figure tips push put. The rest depends on what kind of sets you want and to what postion you are seting to. If you need more info write me.