Oh ya, fish them on #10 circle hook. I put them either right below the ice or about 3 inches off the bottom. I have never had luck fishing clusters in the middle of the water column. I can not say Top or Bottom is better because they both produce the same.
Depending on the size of the fish where you are going depends on the size of clusters you want to use. here in NH I like having sacks that hold 3-5 eggs in them, no more than 5 eggs. I like them smaller around here. This is one bait I would say that smaller is better.
Also try mixing your eggs in the sack,different colored eggs can work very well. I go after bows, browns and brookies with sacks. Never got a laker on one either.
Good luck