I pass this along second hand, but coming from a VERY accomplished user of the bead. Pinning a bead right at the hook can interfere with both the hook set (if the bead is near or larger than the space between the tine and the shank...the "gap" i think it's called) and help the fish throw the hook. I also recommend somewhere around 2". And don't shit yourself if the fish is hooked on the outside of the mouth. It hit the bead. Beads can be fantastic presentations, and I won't get into if it' a "fly" or not, but in fly only waters it would not be legal. You do not need an indicator, but they won't hurt, and I would only add lead if you really think you need it. In most small waters, frog waters or soft pockets where beads shine, throw upstream and mend. Lead is not usually needed, but as many attest...it probably doesn't hurt either. And I was serious...try swinging them sometime for trout, steel, etc. If you have a mid day dull spot they can make magic happen Try it all, stick to what gets you off...drop that which does not and don't sweat anyone's opinion. Have fun and good luck!