Here's how I've been using MLO and GTD:
Contexts: I use this for three things. Firstly, the usual @context for the 
location that makes sense, eg. @home @work. Then a two letter code if the task 
relates to one of my team members, eg. HE or JF. Then a +number for estimated 
time, I use these: +15 min, +30 min, +1 hr, +2 hr.
Flags: Again you can define these, there are seven you can set up. I use this 
to highlight what I'd like to achieve This Week, Next Week or Today.
Star: If something is really important I will Star it. Useful for that urgent 
task that comes in. All of my views show Starred items at the top - so I can't 
ignore them 
Folder: You can setup any needed folders to keep tasks together or as separate 
as you'd like to. For example, I have a Family folder, a Bills folder and a 
Household folder. I also have a Later folder, which will hide tasks that are 
moved to it - until I proactively review them.
You can make any task a folder, and can nest as many tasks as you need to as 
sub-tasks (there may be a limit here, but I haven't hit it yet). You can make 
any task or folder a project. You can also make any task or folder a goal (I 
haven't used the goals function yet).

I then have several custom views setup:
Today - any starred tasks on top, then any with today flag set, then any with a 
due date today.
This week - Any starred tasks on top, then any with this week flag set, then 
any with a due date within 7 days.
  - I have two versions of this, a flat one and one that shows the folder 
hierarchy for the task.
Next week - Any tasks with a next week flag set, and any with a due date next 
week.
@waiting for - any tasks with this context set
@shop - any tasks with this context set

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