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Most of directories do not do direct links and instead use redirects, this is usually because link tracking is in place. Unusually LSblogs links directly to sites it lists which I believe will count towards your back links unlike redirects.
Besides LSblogs that I have just mentioned other directory that generated some traffic was Blogarama.
Unfortunately you do not know which directories are going to generate traffic until you have been listed. You can increase your chances of ensuring traffic by submitting to directories that already have a lot of traffic. I would suggest that as it takes little time and effort to submit your site to blog directories and as they are few and far between compared to generic directories it is a worthwhile exercise.
The experiment is far from over as I still have many blog directories to submit to and I will be looking at long term traffic from these sites. There will be an update to come which will include a list of all of blog directories.
Allan is the webmaster at http://www.blogtonomy.com/ where I will show you how to gain traffic to your site.