Detailed answers to all of your questions and more can be found here:
Pool School
But in a nutshell, most residential pools can lose 2 to 4 ppm per day of FC due to UV burnoff. By maintaining an already low level of FC (under 4 ppm) you risk having zero FC at some point throughtout, which is an open invitation to algae. Burnoff is lessened on cloudy days and absent overnight, which is the basis for our Overnight Chlorine Loss Test.
Stabilizer, aka CYA, buffers the harsh effects of chlorine and allows FC to be maintained at higher levels without the risk of damage to equipment or skin. It also provides protection from UV burnoff. Due to this buffering effect, FC can be as high as 40% of CYA with no ill effects. Our targets are 7.5% of CYA at the MINIMUM and 40% for shock level. I prefer to keep my FC at 10% of my CYA for a little added cushion.
PoolMath can be used to calculate the effects of adding chemicals to your pool.
For your manually chlorinated pool, use
PoolMath to calculate how much CYA is needed to reach 30 ppm and get that in a sock suspended in front of a return. It will take a couple of days to fully dissolve and register on the test, so wait to test. Add more if needed to achieve 30 ppm. After that, check maybe once per month and add as needed.
Then add enough liquid chlorine to bring your FC to 5. Do this every day. I'm aiming a little high for you because you'll need to monitor for a few weeks to determine how much FC your pool uses per day. Once you are comfortable with the daily requirement, you could maintain as low as 3 ppm. But personally I would stay at 5. I don't like to cut it that close. As stated, it's safe up to 40% of CYA, which would be 12 ppm.
Add muriatic acid as needed to maintain pH between 7.2 and 7.8. You only need to check this weekly.
That's all there is to it -- Trouble Free!