SOLVED: "Floating" Demo: Disk Load Indicator turns red, then drop out occurs

I've been running under the min requirements for X1 without a ton of trouble on smaller projects, but finally decided I needed to be "up to spec".  I upgraded to a Phenom II x6 without too much trouble, and thought I'd try the Cori Yarckin "Floating" demo to see if my machine was up to snuff.

Things go smoothly until all the drum/guitar tracks start kicking in.  Somewhere in there, the "Disk Load" indicator will blink red once or twice, then a "drop out" will occur.

Here's what the X1 Reference Guide says:

Disk Activity indicator
. Measures how much of the available time SONAR is using to
perform input/output functions on your hard disk. The size of your setup’s I/O buffer size (listed

under File System in Edit > Preferences > Audio - Sync and Caching) determines how much

time is allowed to perform disk operations and maintain uninterrupted playback. When SONAR

performs disk operations, the Disk Activity indicator changes color from yellow to red to indicate

the time SONAR is taking to complete each cycle of disk input/output. A red icon indicates very

high data activity.

Maybe the drop out has less to do with disk activity and more to do with my ASIO settings, I'm going to experiment with that some.  Have any of you run into the red disk icon, and if so, what settings did you end up using??
Sorry for the newbie question...

Thanks,
Snooker

Disk buffering and caching are two different things. You shouldn't need to enable caching, but you may have to run the larger buffer which is probably what solved the problem. Assuming your new DAW is running at least 7500RPM drives, it should run okay with buffers at 256. Having to go to 512 would be a little surprising unless you're audio disk/controller is unusally slow.
 
For reference my lowly 7500 RPM audio drive can run the Floating demo with playback buffer at 96kb, and not peak above 65% in the Windows resource monitor. With the buffer at 256 where I normally keep it, the demo doesn't break 45%. At 64, I'll get dropouts.
 
Fire up the Resource Monitor from Task Manager, and see what it shows.