Measure a section of 1-by-4-inch lumber to a length of 38 inches with a measuring tape. Cut the lumber to length with a circular saw.
Measure and cut one section of 1-by-3-inch lumber to a length of 38 inches, and another section to a length of 36 inches.
Mark the 36-inch section of lumber at 4-inch intervals on each edge and draw lines between the marks using a ruler as a guide. You will end up with eight parallel lines running across the grain of the lumber. Mark the center of the board on each end and draw a line between the marks to bisect the cross-grain lines.
Attach a 1 1/2-inch paddle bit to a drill. Drill a hole through each line intersection so that you have eight circular holes evenly spaced along the board.
Measure and cut a 1-inch wide by 2-inch deep notch on each end of the 38-by-1-by-3-inch limber section with a jigsaw. Cut a 1-inch wide by 3-inch deep notch at each end of the 38-by-1-by-4-inch lumber section.
Measure and mark the 38-by-1-by-3-inch lumber section at 4-inch intervals, starting at the notch on one side. Draw a line across the grain at each mark. Mark the center of the lumber on each side and draw a line between the marks to bisect the cross-grain lines.
Center a 3/8-inch router bit on on one of the cross-grain lines on the notched end of the 38-by-1-by-3-inch section. Follow the line to the intersection. Repeat this process for the remaining lines so that you have eight evenly spaced 3/8-inch openings for the tops of your pool cues.
Apply wood glue to the 36-by-1-by-3-inch lumber section. Place this section, glue side down, on the 38-by-1-by-4-inch lumber section so that it is flush with the non-notched edge. This glued section will form the bottom support of the pool rack.
Sand all rough edges of the pool rack sections with a hand sander.
Place the bottom section against the wall, about 18 to 24 inches from the floor, with the notched edge facing away from the wall. Check the section with a carpenter's level to ensure that it is level.
Drill a pilot hole through each notch into the wall with a drill. Insert and tighten a 4-inch wood screw into each pilot hole to secure the bottom section to the wall.
Stand a pool cue in one of the routed holes to determine the position of the rack's top section. The top section should be about 2 to 3 inches below the opposite end of the pool cue. Mark this position on the wall.
Place the top section on the wall at the mark, with the notched edge facing away from the wall. Check the section with a carpenter's level. Drill pilot holes through the notches into the wall, and insert 4-inch wood screws to secure it to the wall.