We have 12 teams in our Yahoo H2H league. Pretty much the same managers each year. We have a league rule against streaming - if you pick up a player, you can't drop him for 3 full days following the day of the pickup. So if you pick up a SP on Monday, you can't drop him until Friday. 1st violator usually gets a warning. After that, the violating managers team is frozen for a week. It has worked for us and everyone abides by it.
As far as H2H draft strategy, I normally go for big hitters early, then grab an Ace SP around Rd 4 or 5 to anchor my pitching staff. I usually fill in my SP's in mid rounds with one decent RP closer. I usually pick up an average Catcher later in the draft. Once the draft is completed, I'm always checking the FA wire for upgrades.
Pay attention to your league stat categories. It's great to pick up a player like Sizemore who gives you power, Avg. and SB. Good luck!