1) It should be blurry, be content with this. This tells you that you're taking the book in with your peripheral vision. That's what you want to happen.

2)I would take out preview altogether. Do a photoread first, and THEN do a post-view, same thing as a preview, just done after photoreading.
You can do whatever you want to learn more about the book, but also skim through it to get an idea of where the information you want is. Just an idea, you don't even have to spend much time on this.

3)Do you feel relaxed? That's all you should be worried about. Don't concern yourself with the states of mind, brainwaves, etc. If you are relaxed, flipping pages in a rhythmic pattern, and taking the book in with peripheral vision, you will be photoreading.