I just want to share that I finally did it. I have quite a few track days & DEs already and a couple of driving schools (about 15-20 events overall). I feel reasonable smooth & fast and can correct the car in most oversteer/understeer situations - with DSC off of course.
However, when getting power oversteer, what I have been doing is applying quick opposite lock to get the car in line while lifting (just a bit). This way I get the car back under control and it works every time.
However, I had been wishing to try to "hold the drift" but hadn't had a chance to -safely- practice it. The track I usually attend is quite fast and with little runoff so with a big mistake its easy to end up against the wall which I of course want to avoid.
Last Saturday was the first time that we actually got heavy rain towards the end of the day - all other times this year had been dry. Almost everyone came in, and there were only 2 other cars out. I thought "now or never" and went out in the E46. I was extremely careful and analyzed which corner would be best to practice on (most runoff).
Well, I probably tried about 10-12 times at this corner and was thrilled BIG TIME. I completely spun out a couple of times, but after that I was able to pull off a couple of "Top Gear worthy" drifts where I could hold the car drifting for 3-5 seconds at a huge angle and then smoothly get it out of the drift. All other 5 or 6 times I didn't lose the car but the drifts weren't so nice.
This experience sort of rekindled my love for the E46. That thing is so easy to drive! I can't wait to try it again. Unfortunately I have no video so you'll have to take my word for it!
However, I need a lot more practice. I'd like to get to the point where I lose the car 1/100 times instead of 2/15!