This is great question and your handbook explains some but not very detailed as far as which setting is best for what conditions. The seqence is such hit the button once to turn on the auto LSD and hit the button once again to turn it off. This can be done in either four or two wheel drive. Come to a complete stop with auto LSD on and hold the button for more than 3 seconds and that turns off the VSC, vehicle stability control. You can then hit the button a third time and hold for more than 3 seconds to turn off the A-trac. This is just another nanny that controls wheel slip. More educated people will hopfully chime in here but me personally when i wheel i turn all nannies off. I dont like the feeling of my truck reving up while im giving it gas and not going anywhere. When i punch it, it is usually for a reason like getting out of a mud hole...