I don't think anyone will disagree with you feeling upset, especially if you believe she's not taking care of the kids the way she should.
I'm glad you are feeling more confident, b/c I think it's essential for a WAW to see it in her H.....but more so for your own sake.
IMHO, the in-house separation is not a good deal. Right now, I can't think of one case where it worked (but maybe there is). I know a bunch of people do it b/c of financial problems, but usually the LBH goes nuts b/c he's too close and seeing her live like a single woman.
The more successful cases I remember in separations are when they lived apart.
It is not about what you feel should work in your M. It is about doing the work that gets the right results. Do what works!