1) Not sure, it depends. But in general, for a starting point something like:
Env3: Delay 64, Attack 100, Sustain 127, AMOUNT 3-8
LFO: Rate 64
Then, what I like to do in the mod matrix is route velocity to Env3 attack (and/or delay), with a small + amount. Aftertouch to LFO rate, small + amount as well, and aftertouch to LFO amount, also a small + amount (when doing this lower the Env3 amount a bit to compensate)
Then, most importantly, tweak each of these parameters simultaneously, one small step here, another there, etc.
2) = A