This place needs more of this kind of documentation.
I failed to use IP tables for years. I bought books. I copied recipes from blog posts. Nothing made sense, everything I did was brittle. Until I finally found a schematic showing the flowchart of a packet through the kernel, which gives the exact order that each rule chain is applied, and where some of the sysctl values are enforced. All of a sudden, I could write rules that did exactly what I wanted, or intelligently choose between rules that have equivalent behaviors in isolation but which could have different performance implications.
After studying the schematic, every would just work on the first try. A good schematic makes a world of difference!
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