Hesitation issues - need help

Tried to fix this myself but I can't seem to get it worked out. 318 with a Holley 670 cfm Street Avenger, CompCams 268 XE, dual exhaust, running original PCV but do not currently have the breather side hosed into the air filter. Original 904 trans (rebuilt) with original torque converter, B&M SuperShifter. Lokar throttle and kick down. Getting a little belt screech on startup, so I plan to tighten the alternator up. Idles nice, especially in park, and I have had it adjusted so it can idle at around 700 rpm in gear at lights, but now it's idling lower than that and I can't seem to get it back to 700 range when in gear. I've had a pretty consistent hesitation issue when I first step on the gas, which seems to hit right in the 1200-1400 rpm range. Sometimes this also happens when coasting at cruising speed and I hit the gas to accelerate. Most times I can get through this by "feel" - backing off a little then giving it some gas, or sometimes there is no hesitation if I really gas it through the 1200-1400 range. Sometimes though it stalls. Starts right back up but a real concern and PITA. I have fiddled with the idle mixture - when this first started I thought just getting it a little richer would do the trick - but I messed with it so much that I have lost track of exactly where I am at right now and am thinking of resetting and starting from scratch. I also thought maybe the choke was coming off too soon, so I have also backed the electric choke setting off so that it is at its limit. I should also note that it runs great on the highway at rpm approaching and over 2000. I'm now thinking this is either a vacuum issue or maybe there is something wrong with the secondary? Any ideas?

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