if the Palestinian extremists would stop sending their crude rockets and stop the bombings and suicide attacks AND Israel would stop the Gaza blockade that is preventing foreign aid to help the human suffering, [italics mine] - Gaza gets aid every year. Hamas should stop spending aid money on rockets and spend it on its citizens instead.
stop the illegal settlements - you're right here. Israel should definitely stop the illegal settlements (in West Bank, not Gaza, although you mention this just after your point on Gaza, making it look like Israel is stealing land from citizens of Gaza).
The cycle of violence often begins and ends with Hamas/Gazan Palestinians.