First Jackie, I can really feel for you with the Chi, that's a frightening thing to have to deal with.
I am learning so much from this thread. With Ra Kismet I am taking, at present, the 'middle road'. I walk him past houses which I know have dogs behind fences but either barely visible or totally unsighted, but not unheard. With very rowdy dogs which are clearly visible racing along their fence lines or jumping at their gates, we walk the other side of the street , just to be sure he won't go into a total meltdown. He's now passing the Mr. Rowdies without batting an eyelid, in fact he rather seems to enjoy passing them, as he get's his treats. And will actually give me eye contact, tail wagging, completely calm just wanting his treat
. We are though still going to continue passing these dogs on the other side of the street. I do not want to push him at all.
So far not too many dogs head one and when one was unavoidable the other day, he reacted a little but VERY quickly settled back to trotting along, tail wagging and investigating all the lovely smells.
The way he's improving is really grand and I am sure by keeping to the 'middle road' way, allowing him to hear/see barking dogs but, as far as possible, not pushing him to head on confrontation, he will in the not too distant feature recover totally from his trauma and walk past dogs without any problem.