Peel oranges and lemons very thin trying not to have any white pith on peel. Place peel in plastic bag to keep from drying. Set aside until the morning.
Slice oranges and lemons into saucepan. Add first amount of water. Boil gently for 2 hours. Drain in jelly bag overnight.
Cut peel with knife or scissors into fine long strands. Put into saucepan. Add second amount of water. Boil 15 minutes or until soft, stirring occasionally.
Drain and measure 2 cups juice adding a bit of water if needed. Add juice from jelly bag.
Mix and measure peel and juice, then place in large saucepan.
Add same amount of sugar to juice and peel.
Stir on medium-high heat until it boils. Boil rapidly, stirring 2 or 3 times, until a bit will jell when cooled on a chilled saucer. This will take about 25 minutes.
Pour into hot sterilized half pint jars to within 1/4 inch of the top. Place sterilized metal lids on jars and screw metal bands on securely. For added assurance against spoilage, you may choose to process in boiling water bath for 5 minutes.