Ive had some coaching from someone who himself was trained by a pro well known to us (he just wont name which one). He feels you want three or more of the players at a handed table to have a stack higher then what you are buying in for. You should be playing at a table limit that you are comfortable about. If you can tear up two $20 bills or $40 with no problem then you should be able to do fine at .25/.50.
Another suggestion is to try the capped tables at
Full Tilt Poker. Ive had good success there at Omaha Hi/lo playing only ..05/.10 pot limit with a $3 cap per person. Still manage to win $5 pots and on Thursday nite I won a $12+ pot.