Partially changed README to rst format
README.txt -> README.md
Don't need README.txt
README.md -> README.rst
Section headings
More README formatting.
Bumped sub-major version number because of adding observed identification.

I should have done that before.
Trying to properly format README.rst
Explained features a bit more clearly.
boldify first word
Note that callback is called in example.
try to codify python setup.py install