I mostly agree with your viewpoints on other topics, but you really missed the boat and were one-sided in this one.  Expansion of the settlements is a violation of international law and a serious obstacle to peace and a two-state solution, not an Israeli bargaining chip.   I recommend that you live for awhile with the Palestinians in the occupied territories to get a realistic appreciation of the desperation they feel after 50 years of occupation and the hopelessness the settlements produces.   If you  cannot  go there yourself, talk to some folks who have been there and experienced the  situation firsthand.