Blackbelt- I'd say you were doing pretty good. Others may differ, but I think at least 4.10 gears is the way to go in the 1/4 mi. (and on the street).
Your thinking on drag radials, gears, light flywheel is correct. It will give you at least half a second in the quarter with the mods you already have.
The thinking that you can "cut a better time using stock gears, and only use three gears in the quarter" is incorrect. Did you ever see or hear of a drag racer with a four speed put a lower numerical rear gear in, so that he only had to shift twice at the drag strip to "save time". That's silly.
Dissect your best numbers. #1 - You've cut a 2.0 60ft. on street tires, so you know how to drive. #2 - Your car will trap at 116mph, which means it has around 425hp. at the crank. #3 - Your best run of 12.50 with street tires and stock gears tells me that with the above equipment, and practice to put these numbers together you're in the elevens.
Your porting is ok, but the heads are where the power is. (witness Haibeck's 510hp- 350c.i. cars and Pete "the Greek", banging on the tens with a stock block 350 c.i. car.) It's the way this puppy breathes.
I've never cut an eleven second time, and that's mostly because my engine is stock, no porting, only bolt-ons (see below).
Good Luck, and wait for a cool night. They love the cold air.