I agree with Sno on the iron deficiency. Symptom: interveinal chlorosis of young leaves. If one magnifies your photo one can see that the veins of your plant are still a normal green. It is difficult to make out, as there is also lacebug damage, unless I am much mistaken. The advice is to spray the plant with chelated iron. If the leaves turn green after a week then iron deficiency is the cause. However, the permanent remedy is then to lower the pH of the soil.
Knowledgeable as you are, and with such a wealth of info on Azaleas available on the Internet, I am sure that this deficiency must have occurred to you, so I mention it here mainly for other azaleea growers. See
http://azaleas.org/index.pl/azdiseasetext.html I thought the tip of spraying with iron chelate quite handy.
BTW, what does that label say? IANELLA RE.... Is that part of the name of your Azalea?
BTW #2: I agree with you that "confide" (I take it you mean Confidor) is nasty stuff, being a systemic pesticide, even if it is supposed to be less nasty than others. If you have an alternative method of eradicating lacebug, please let us know. I have had limited success with homemade white oil, with tea tree oil replacing the usual cooking oil.
Lisa