The Rustoleum 2X works great. You can use it as the base coat as well as the stencil colors.
I used water base for a base coat on my first couple restores and my results were similar to yours. Go 2X all the way and you wont have any peeling issues.
Also, if your hands are turning blue when peeling the stencil, you are not waiting long enough. Waiting that extra 5 minutes will make the difference. You will get nice clean edges.
I put a light fog coat of color, wait 10 minutes. Then lay down a more solid coat. Wait another 10 - 15 minutes and put a light third coat to make sure you cover everything. Don't put it down too thick.
After 15 minutes it should be ready to peel. If you are getting sticky paint or strings when you are removing the stencil, wait a few more minutes. You should not get any paint on your hands at all.
In warmer weather the dry time is more like 5 minutes to start peeling the stencils.