Sounds correct except this doesn't make any sense:
The "FLASH [+/-]" would not a part of this calculation nor would the difference between the intrinsic brightness of the internal flash vs that of the external strobe.
Yes, with the flash set to 'slave' pre-flash is disabled.
Do the "SLAVE settings [1-10]" also adjust the duration of the internal flash, but in this case, with no preflash to calculate the duration, you're on your own.
True the settings 1-10 adjusts the duration but I don't think it was designed to be used as a form of illumination. It was designed to trigger non-preflash and non-Olympus TTL compatible flashes. So yes you are correct in saying that 'you're on your own'.
The external strobe would fire for the same duration of the internal flash based on the "SLAVE settings [1-10]" and you get to compensate by setting the external strobe somewhere between 1/8 and FULL.
Simply put, when you switch the external strobe (the DS125 in this case) to a manual output setting, eg 1/2, it doesn't care how long the camera's slave flash fires. The DS125 will fire for the duration that the 1/2 setting corresponds to. It only uses the slave flash to trigger (start) this event. In this case, since slave setting 1 is enough to trigger this event, it would make sense to leave it at the lowest setting to get minimum camera recycle time and also save batteries. Should you need to re-locate the DS125 and sensor further away from the camera then you can 'pump up' the level of the slave flash so there is 'enough light' to set off the DS125.
Spin off: Because the DS125 has the lowest setting of 1/8 it is often too bright when lighting subjects close to the camera. In this case, and purely as a work around, you can use these levels of 1-10 to get lower than 1/8 output from the DS125. To do this you need to switch the DS125 to TTL and select different levels of the slave flash. In this case, because the strobe is in TTL mode, it will 'mimmick' the duration of the slave flash, and because most of these durations are small, some of the levels will get the DS125 to give outputs lower than 1/8. You wouldn't have to do this if you had the manual slave sensor instead of the TTL.
Also, would the "FLASH [+/-]" also help you in this case to compensate the duration of the internal flash.
I don't think it'll make a difference in slave flash mode.
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