Sim Info -
Recent interest in Dhalsim, he’s the shiz. Reasons why Dhalsim kicks ass - Great rushdown, Great keepaway, Great super, insane throw priority. Reasons why Dhalsim sucks - Teleport glitch, crappier than crappy launcher, so his combo options are limited, unless you have sick execution.(w00t.
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Rushdown - Two ways to go. One, is c.roundhouse. His c.roundhouse is sick. A c.roundhouse should mean a free Inferno for you(c.roundhouse, c.short(OTG) xx Inferno), and you can always cancel into Jab FB for safety, but you usually won’t need to, because the recovery is pretty low. Plus, the range is so ridiculous, that it works wonders with his Keepaway.
The other way, is his Drills. There are actually two ways to use his drills to rushdown… One, is to just jump and do his LK drill as fast as possible(That means you gotta practice an Up, Down motion, to Jump and then Drill. The faster you are the better.) The other way to Drill-Rushdown, is to jump at them with a j.jab or j.short, and then cancel THAT into a drill(j.dwn.forward, of course). j.jab is pretty much the one you want to learn, because it’s what makes Sim something to be afraid of up close. His j.jab hits almost straight down, so it’ll hit crouching/small enemies(j.short gets screwed a lot if they just crouch, or if they’re cammy/wolv sluts), and it’ll cover the area directly in front of him, whereas j.short, and even his LK drill, won’t.
With this in mind… If you land a j.dwn.short, you want to follow up with something like j.forward -> j.roundhouse /, and if you land a j.jab, you want to follow up with something like j.dwn.forward -> j.fierce(Far) /
Both of his Drill-Rushdown options give dhal lots of combo options. In fact, they can both be looped. [ /\ j.dwn.short -> j.forward -> j.roundhouse / ] loops, as long as you’re quick on the LK Drills. [ /\ j.jab -> j.dwn.forward -> j.dwn.fierce / ] loops, but you have to be careful with the timing, or else you’ll get pushed back too far.
After you land, you can go for something simple like c.short xx Inferno(Or s.fierce xx Inferno, if you’ve got the time), or you can combo into his launcher, if they’re in the corner. It takes pretty tight timing to combo into his launcher, and I’d suggest using the [ /\ j.dwn.short -> j.forward -> j.roundhouse / ] setup, but in any case, after that, dash and do d.s.jab, s.strong. Do the jab as late as possible for it to combo, and then just wait until it’s over and do the s.strong ASAP. It helps if you hold Towards while doing it, so if the s.strong comes out a couple frames late(There’s a little leeway), those frames won’t be wasted, they’ll be used walking closer to them, just in case you were too far away. There is ‘tons’ of shit dhal can do for air combos. Tons, including two infinites, and all sorts of flashy combos, and a ridiculously easy FSD setup, but I’ll let you figure that shit out. A lot of it is probably on GameFAQs, ala Chen.
Inferno - Overall, you’re better off sticking with Inferno. It’s a ridiculously good super. High damage, fast activation, and combos off of just about anything. It’s almost as good as Psycho Crusher, except where Bison’s weak ensemble can’t make use of his good super, Sim can. Just, try not to get it blocked at point blank range. If they’re in the air, and they block it, there are ways to manipulate the super so that they get pushed away, and don’t land right next to you. However, more interesting, are the ways that Dhalsim can do Inferno x 2, and, Inferno x 3, in one combo. I’ll tell you how.
The ideal setup is after an OTG. Do something like c.roundhouse, c.short(OTG, Tiny ass pause) xx Inferno. You’ll see that, as the super connects, they’ll be a little bit away from you, and about a foot off the floor. Perfect positioning. The key, is to nudge the super Downwards at the right time, so that they stop getting hit by it, bounce a little, fall, and then land on the last hit much later than they ussually would. That gives you the extra second or so you need to OTG them after the super, into another inferno. If you’re both already in the corner, it’s a lot easier, though. Instead of nudging the super down just a little, just swerve it all the way down, so that they bounce up out of it, land, and then get OTGd by the last hit. Then, hit them with c.roundhouse or something during their OTG Bounce, into another inferno, etc. This counts as an nOTG, by the way, so you can do it over and over again, and they can’t roll it. Another method, a little more experimental, is something I’ve been working on. You can actually ‘lift them up’ while hitting them with the super. As they’re getting hit by the super, they’re frozen in place. When they stop getting hit by it, they bounce up a little and then fall down. So, if you swerve the super up, just enough so that they stop getting hit by it, they’ll bounce right back up into the flame. I find it works best if you lift the super a little, and then just mash Up/Down rapidly. If you do it right, and they’re far enough away(This doesn’t work unless they’re reasonably far), than it’ll pick them up, and it’ll make it a lot easier to OTG them after the super, or nOTG them with it, or whatever. The higher they are, the easier his inferno links are.
How is all this inferno shit gonna be any use if Sim doesn’t have meter? How does Sim get meter…
Keepaway - Keepaway with Dhal is simple, but effective. s.roundhouse and j.roundhouse are key, of course, and s.roundhouse xx Jab FB is one of his best keepaway techs. If they’re on the ground, just do that. If they’re jumping, you can dash back and do that, or you can just jump with j.roundhouse… Or you can jump with j.strong -> j.roundhouse(Good for if they’re level with you). c.roundhouse is actually an effective keepaway tactic for him too, as long as you cancel out of it, because it makes them much more reluctant to dash in, and it gives you room to dash back for his s.roundhouse, etc etc. The only two specials worthy of note, really, are his QCF+Jab and his HCB+Short(The quickest version of his Diagonal-Upwards Yoga Flame). You can OTG after his HCB+Kick into inferno, but it’s pretty rollable, so try not to get mixed up. s.forward is another normal worthy of note, because it’s basically just a faster, weaker s.roundhouse. It’s better when you’re a little closer, and just looking for something to get them to block, xx Jab FB. Keeps them grounded, and bugs them.
Throws - Sim’s throw priority is ‘really, really good’. He throws people for free all day if they get too close. His throws aren’t always instant death, like Magneto’s, and he can’t do much to follow up a midscreen throw… But they’re still deadly. There are basically two throws you want. One, is his normal B/T+Roundhouse throw(Not the crouching version). You can throw them in either direction, if it’s in the corner, you can follow it up with a s.strong launch(What? Free sim air combos? =D ), and, if it’s in the corner, you can follow it up with a s.jab -> Bounce throw. The other throw, is his B/T+Strong throw(Yoga noogie, w00t w00t). Unfortunately, this throw is one directional, it throws them towards the side they were standing on them when you grabbed them. But, It’s probably the most damaging throw in the game(Not even counting the fact that it’s mashable =o ), and it sends them pretty high(High enough to follow it up with his QCF+KK super, in the corner.) And, of course, you can launch after it. So, you could end up with a stupid combo like this… -
Sim’s back to the corner: Roundhouse Throw(Into the corner), s.jab, Strong Throw(Into the corner), QCF+KK, for ridiculously stupid amounts of damage, and all easy peasy. 
That scenario is very common, too. When you piss people off with his keepaway, it’ll be easy to bait them into rushing you, just jumping back into the corner, landing, and throwing them. Or, some other form of baiting them like that.
In any case, Dhalsim’s just a sick character because he’s so good at so many distances. Point blank(Throws), Very Close(j.jab/slide rushdown), and far away(Keepaway).
There’s lots of other combo tricks and tips for him, but I’m working on some material with him for vids and shiz, so that’s just up my sleeve for now.