I go in 4-high and locked for sloppy stuff. In my case, going through fast keeps it from sinking to the point that it's just sitting on the skid-plates and the tires can't get traction anymore. Wouldn't be as much of a problem if I had bigger tires but I've done exactly that before. I also avoid...
I dig how you kept the stock housing. I just bought a set of 4" rectangle yellow fogs to mount in the bumper when they get here. I'll likely retrofit something into the original fog housings like you did at a later date.