Stringy print, blobs on perimeters

I seem to be having some trouble fine tuning my print. It seems that there are blobs on the perimeters and a lot of strings. Here are some relevant parameters fo slic3r, if there is anything else that may be of interest please let me know:

Edit: I should mention I previously has the retraction at 8mm and it was still stringing.

Extruder:
Retraction
Length: 2mm
Lift z: .2mm
Speed: 40mm/s
Extra length: 0mm
Minimum travel: 2mm
Retract on layer change: yes
Wipe while retracting: no

Filament:
180C first layer, 175C other layers

Layer height: 0.3mm

Print speed
Perimeters: 80mm/s
Small perimeters: 60%
External perimeters: 60%
Infil: 160mm/s
Solid infill: 80%
Top solid infill: 50%
Bridges: 30mm/s
Gap fill: 20mm/s
Travel: 200mm/s

First layer speed: 30%

Any guidance of what to test would be appreciated!

Edited 1 time(s). Last edit at 12/11/2014 10:30AM by geemoto.

I had the same issues when lifting my Z during a retract. Once I turned the Z lift off those issues went away.

I'll try this, but then the nozzle drags along the surface (slightly) when it travels. Is this likely due to over extrusion?

Id say so yes. Even at .2mm layers I dont touch when it travels over a printed area.
Adding the Z lift for me caused a buch of issues.