I wish I was better help, that's just too much controls for me. I think you basically would want it in lock up once you're up to speed, low load(overdrive). You want to take off and accel with it off or you defeat the purpose of having a stall. I bet if you get ahold of Jdub, he can give you a better answer. I used a similar setup used by Toyota for testing, I liked the way it shifted on its own better, plus I wanted more consistency because I was bracket racing.
This is all the info I found on their website:
What does the torque convertor lock do?
When you lock up the torque convertor it takes the "slip" out of the transmission making it more efficient and run cooler. The factory computer will lock it up under medium to light throttle in third and fourth gears, basically to gain efficiency when cruising on the highway. Some people use it offroad for extra compression braking, and although I can't recommend that because it's not designed for it and will likely reduce the life of your torque convertor, many people do it and I've never heard of a failure.