Hi Richard, and welcome to Orchids!
As everyone else has said, yes, the more "humid" the better, and little to no direct sun. Personally, I grow my phals in a mix of bark, and maybe 10% long fiber sphagnum. Especially for those that I keep indoors. Being in NE. Fl. most of my orchids do go outside in the spring, summer and fall, but then come in for the winter. But some of my Phals stay in year round,(only because I don't have enough shaded areas outdoors) which means they have to suffer with A/C. For those, I find that putting them on a tray of pebbles, with added H2O for more humidity helps. Along with occasional mistings. And yes, when you do re pot, I would go just one size larger.
Good luck with them!
And good luck with what could become your newest passion/obsession!
At least that is what happened to me!!!
