Cyrus,
I had pretty much the same setup on my last large MH/VHO tank (a 125g). It made me feel good, but the more I thought about it, the more I realized it was woefully unrealistic. I started experimenting with LEDs trying to approximate that effect melev and I had with MH/VHO when I realized how unrealistic it is. I had LEDs in different banks from left to right over a tank and faded them on and off separately, trying to convince myself that I was approximating the sun moving over the reef.
But, when the sun travels over a real reef, you'd pretty much NEVER see that pattern of colors and intensities! Instead, you'd see an overall color and intensity shift that would be the same everywhere (as opposed to one end of the tank being intense and white and the other end being dim and blue), and you'd see a change in the angle of the light through the day.
For us with LEDs, the real intensity and color shifts are easy. Just program the whites and blues to fade on a bell curve or some approximation. The only part that's still eluded me is approximating the changing angle of the light through the day. One way to do this would be to have the LEDs in narrow banks on axles so you could turn them to adjust the angle. But I can't think of a way to implement that with any degree of reliability over a 10+ year lifetime. Another way would be to have smaller fixed banks of LEDs at steep angles at each end of the tank to use during dawn/dusk to simulate a steep angle for the sunlight. I'm pretty sure that's the direction I'll take with my big tank - it's easy to implement, reliable, and "good enough" to achieve the effect I want.