Firstly, I'm no expert so please take more notice of others more than me. But I thought a couple of things when I read your post.
Your comments on stretching and getting something that looks like an 8 bit image. Assume you are using at least 16 bits? Are you using Photoshop? Took me a while to realise that when stretching in PS, the first few big stretches do look a little posterised as you describe - until you flatten the image or if you don't want to lose the history/layers that you've done so far, hit shift-ctrl-alt-e. That sort of flattens the image, but leaves all the previous layers below. Pretty cool. Does that help?
Re: stacking with Nebulosity - I'm sure there are many others here more experienced, but I can walk you through stacking using that if you'd like to persevere with it. I was using DSS, but now exclusively using Neb and really like the control it gives.
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