use: New EWF + MinLogon and CF instructions
and make sure you have XPe SP2 EWF files otherwise it won't work. Also, double-, triple-, and quadruple-check your registry entries to make sure everything is in there properly as well as making sure the files are in the right directories. When you boot up make sure you don't have any other hard drives plugged in besides your EWF drive.
*EDIT*: didn't see your last part about your IDE channels. Make sure the ArcName matches your boot.ini arcpath