Short-handed Strategy

Small Blind: You have awesome odds here, so if no one has raised, call with anything suited, and connectors.
Big Blind: If everyone folds to the button, who raises, don't be a chicken if you have a decent hand. Even A3o is worth calling to tell the button to screw off trying to steal your blind. Having the ace is important though, with K3o the decision is more dependent on your read on the player.

Pocket pairs: These hands go up in value shorthanded. Fold the lowest pairs early position. Call with the lower pairs if there are limpers ahead of you in late position, raise the higher ones in all positions.
Suited connectors: There hands are junk shorthanded. Only play 98s or higher, and only in late position with limpers.

Suited aces and kings: Again like all speculative hands, they go way down in value shorthanded. Just like suited connectors, only late position with limpers.

High card hands: These hands go up in value. KTo, weak hand in full ring, strong hand shorthanded. You should not be afraid of open raising with this hand, from all positions.

Powerhouse hands. AA, KK, QQ, JJ, TT, AK, AQ, AJ, KQ...these are all hands you should try to raise, reraise, and cap preflop, depending on what type of players your opponents are.

Just a side note, many players do not like raising and reraise with AK. They like to call, and see the flop cheaply, and when they hit their pair they'll bet aggressively, otherwise they will fold. This is TERRIBLE. You are holding AK, the 3rd or 4th best fricken hand! If you aren't going to raise with that what ARE you going to raise with? Limit is all about doing the thing that maximizes expectation. The chances of AK being the current best hand are VERY high. Raise for value.

Since I expect you to know what hands are good and what hands are crappy, the only change you need to make from full tables is you will be raising a lot more preflop. If it's folded to you, raise if you're going to play the hand. Call if callers ahead of you. Reraise and cap all your premium holdings.

FACING A RAISE: Like I’ve mentioned before, cold calling is a HUGE LEAK. Don’t do it. The only time you should even think about cold calling is if it was a hand you would have raised if no one else did. Getting reads are important, if a TP-P raises before you, you can probably safely muck your AQo, knowing you're probably up against AK, AA, or KK. Against a tight aggressive it's a coin flip. They could have AA, or they could have ATo. You should either reraise, or fold. I don't like cold calling. I don't like calling in general. For me I reraise AQ, and fold everything else. TT and higher pairs I reraise, medium pairs 77-99 depends on the opponent to reraise or call, and how many opponents will be in the hand. The only time I cold call is when there are multiple cold callers in front of me, and I have a lower pocket pair or suited connectors.

Basically the overall idea for cold calling, play AS A TIGHT AS A TIGHT ANIMALS ASS. Just to give you a general idea, in the last 1000 hands I’ve played, I’ve cold called 4 times. And that's probably too loose.

In summary; raise or fold. Call with hands too crappy to raise with, but too good to fold (but only after someone else called). Cold call only when necessary...i.e. almost never.

FACING A RERAISE AFTER YOU RAISED: If you raised first, and it gets 3bet and capped back to you, muck your hand unless you hold the goods. Treat this as if you were cold calling.

What if it's one bet back to you? In most situations I will call. You don't want to fold after you raise or people who notice will start throwing extra raises at you. However, if a loose passive reraises your raise, what else will they raise with? Give them credit and fold. If a tight aggressive raises, that's when you gotta decide whether to reraise, call, or fold. This depends on position as well. Being first to act or last to act for the rest of the round against a specific player will change what action you must take. Unfortunately I do not have enough experience in these situations to give any meaningful advice (mainly because I choose soft tables).

You raise a lot preflop for one reason. You are telling everyone after you that you think your hand is worthy of having the button. You are telling them that if they think their hand is more worthy, then they must cold call or reraise you. This is all a set up for what makes you money....postflop play, so you want to go into the flop with the best position possible.

POST-FLOP PLAY: There are many decisions preflop that have little effect on your long term win rate. Bet, raise, fold, call, they all mean relatively little compared to what you do postflop will mean. Your decisions postflop are much more important because they can cost you the pot. Losing a big pot you should win is a disaster! You must prevent that from happening.

In general, you always want to be the one that's betting and raising. Calling is weak, and none of us want to be weak. The only time you should be calling is when you are on a draw, and getting the odds and/or implied odds to call.

The basic run down is this. On the flop you want to protect your hand by getting it heads up, or build the pot with a monster or drawing hand. On the turn is when you need to decide if your hand is good. Very few players are capable of raising you on the turn without the goods. Don't be the sheriff and call down to find out. Trust in your read. If you call down on the turn, you must call down on the river too. All those big bets will add up. Remember, limit is about all the little things adding up. It's just not "one more bet." It's one more bet over and over, causing you to lose money.

Assuming at least 3 handed
FLOP PLAY EARLY POSITION:
Bad Hands: Lowest pair isn't best too often, you can muck these hands.

Marginal Hands: Being in early position has the advantage of building pots when you have a monster, and check-raising marginal hands to protect your hand, and increasing your chances of winning. A lot of advice out there suggests you shouldn't continue beyond the flop with less than top pair. Having medium pair is very often the best hand shorthanded. If everyone checks to the button, who bets, you MUST raise here with mid pair. Many people bet on the button with nothing, you may have him beat. Other players after you may have top pair with weak kicker, facing 2 cold, they might fold fearing being outkicked.