Sean...Your recording approach reminds me of scrambled eggs, as opposed to sunny side. I gather that by your arangement of musicians, and some judicious mixing, you aim to create a "soundstage" when the two channel recording is played back. OK, I believe you can capture a soundstage, and your method may be one way to do it.
However, I think that the oposite approach of isolating instruments to discrete channels (and perhaps a phantom center) can also be very effective, although it is fashonable to ridicule it as "ping pong" stereo. When the number of instruments is small, say six or less for a multichannel system, the result on playback is to transport the musicians into the listener's room rather than transport the listener to the recording venue. The "soundstage" that is developed is the one of your room. It is a real soundstage, not a reproduced one. Not all music lends itself to this approach, but when it applies and is done right the result is astonishing.
However, I think that the oposite approach of isolating instruments to discrete channels (and perhaps a phantom center) can also be very effective, although it is fashonable to ridicule it as "ping pong" stereo. When the number of instruments is small, say six or less for a multichannel system, the result on playback is to transport the musicians into the listener's room rather than transport the listener to the recording venue. The "soundstage" that is developed is the one of your room. It is a real soundstage, not a reproduced one. Not all music lends itself to this approach, but when it applies and is done right the result is astonishing.