Hi Wolfie,
A DRO is a Digital Read Out . These are digital scales fixed to some machines to show the accurate position of the tools or work. Typically a lathe will have one for saddle travel and one for cross slide. ( occasionally one for topslide) a Milling machine usually has one each for the X, Y and Z axes.
A ‘dot’ punch is a fine punch with a sharp angle (60 degrees included) point for accurately marking centres. A ‘centre’ punch has a more robust point with an included angle of around 120 degree included angle (about the same as a drill angle of 118 degrees) this gives the drill point a good location.
It is normal practice to use a dot punch first to lightly mark a centre (using a magnifying glass and light is preferable) and if accurate this is followed with a ‘centre’ punch to give a larger mark for the pilot drill to locate. If not accurate the light dot punch mark can be moved by tapping the punch at an angle in the direction it needs to be moved before finishing with a centre punch.
I make my own punches using some high carbon steel I have but they can be easily made from silver steel. PM me if you need advice and are interested. Here is an example made from some salvaged silver steel The bottom one is the home made punch. It too about 20 minutes from start to using:
In the past a dot punch would also be used to mark cutting lines on an an irregular piece or component and you would cut and file until you ‘halved’ the dot marks and then remove the half marks by chamfering the edges of the work.
Hope this helps, us old timers take too much for granted. If you need any more advice don’t be afraid to ask.
Best regards,
Terry