loooool, I'll try not to get too complicated for you sir.
1. The closest you will want to get, is as close as your shortest ranged RANGE skill. (probably 160 range)
2. Stat your daggers, but if possible try and tier your mainhand dagger 1 or 2 higher than everything else. Mainhand weapon damage affects your dots, as S/R this can be more useful than most other scout classes. Pro tip; mainhand crit does not affect ranged weapon crit
As far as a rotation goes, it should be somewhat similar to this
(bosses) Snipe -> Shot (prioritize shot until you crit proc) - > engage autoshot - > sapping arrow (situational) - > combo shot - > vamp arrow - > deadly snake venom bite - > weak spot - > mana drain shot - > reflected shot - > Piercing arrow - > wind arrow/ shot - > any skill with higher dps than WA/Shot that goes off CD (minus snipe)
(questing/mobs) Snipe (if it's a tough one) - > weak spot - > vamp arrow - > combo shot - > deadly venomous snake stuff - > MDS - > reflect/piercing/shot/WA whatever fills the goat