Quote - Sorry if I overlooek it, but was this done with the updated morph brush tool of P10/PP2014?

Yes.

Quote - What do the "Attraction Points" and "Pokethough Margin" options/settings do in the new morph brush, please?

Attraction points is how far out from the target geometry the morph will consider when tightening.

Pokethru Margin is how tight the selected figure will be pressed to the target morph. For clothing the usual setting is .002. This is usually sufficient to prevent pokethru. If you don't change it to 0 when doing this sort of thing, there will be a gap between the two items that are supposed to be in contact.

Sorry not to be complete. :)