aka69,
Your second method, letting the energy spread throughout your body is recommended. Playing games is a distraction which helps but feeling the energy is more of an imerssion into your sensations and a method of becoming more self aware of your bodys sexual response and will assist you in recognizing your arousal level(s). It's also a game but has direct benefits by teaching you where you are at and then you can practice remaining at a certain level for longer periods (plateauing). Moving down a level (slowing down stimulation, abdominal breathing, triangular breathing and reverse kegels ,(if they are effective for you) and up a level (peaking). Once you can master this (it takes practice for your brain to rewire to these longer periods of stimulation and still not keer reaching for PONR). This is supposed to be a progressive exercise which once mastered will allow you to move closer and close to PONR, thereby heightening arousal but still being present with the feelings and not lost in them. This is my current practice and I'm seeing some remarkable gains on a consistant basis. Also, see JamesMonroe's posts on ballooning and advanced ballooning. I've found ballooning is a great way to become sensatized to stimulation and letting it disipate through your body without the overstimulation effects one often experiences when masturbating and edging. So I put ballooning down as a technique to learn to apply prior to learning edging; contrary to many recommendations posted here.
Give it a try and see if it works for you. Also, read through the "implications" thread here for a thorough discussion of the pros and cons of Reverse Kegels.
Keep at it; you are making progress and that will give you positive feedback to continue your training. Failure is not messing up (that's learning), it's giving up!
All the best!
OldRocker
P.S. to Bobbyj, see the "implications" thread as Pegasus recommends. He has a reputation beyond repute!