Masquerade Gateway + Transparent Proxy

All,

My apologize if my question is not related with Squid issue.

I plan to build a Linux gateway that will masquerade all of internal LAN
traffic (using Private IP) to Internet. The gateway will also be functioned
as Transparent Proxy by using Squid. The configuration of Squid is "proven"
working well (copied from another Squid proxy).

The file "sysctl.conf" was already configured to set IP Forwarding to be ON.
Kernel is not touched (original from the fresh Linux installation).

Here I put 2 command lines into my "/etc/rc.d/rc.local"

iptables -t nat -A PREROUTING -i eth0 -p tcp --dport 80 -j
REDIRECT --to-port 3128
iptables -t nat -A POSTROUTING -0 eth0  -j MASQURADE

Do you think that I am correct?

Your answer is very appreciated. Thank you so much for your help.

Thx & rgds,

Awie