That's a variations listing, set up correctly. You should avoid the word "choice" because in the eBay context it is used differently and is not permitted: A listing where the buyer doesn't have the explicit variations choice but has to tell the seller which item he wants from a collection of options.
By showing both items in your Gallery image, you run the risk of a careless buyer expecting to get both items. Many buyers just look at the pictures and don't read the Description carefully, if at all. I would have listed them separately. Especially since your listing title starts with "2 Colors." Maybe a better title would be "14 Yd Extra Wide 7.5" Embroidered Crochet Style Lace Trim Choose pink or blue". Your current title doesn't specify the colors so your listing wouldn't show up in a search for either of those colors.
Finally, it could be useful to have another image, which shows a ruler laid across the trim to emphasize how wide it is. I would have also included an image of the entire 2-yard piece, rolled up.
