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CuBase LE and US-122L help

I'm a recording noob. I bought this unit on the weekend, and am running XP. I'm having some trouble getting CuBase to record, although the level meter is showing a good signal. The "manual" that ships with the unit is *woefully* inadequate - are there any good and useful free resources out there to hel me understand CuBase LE?
 
US-122 setup...

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First screen of the new project....

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Go to device setup...
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These were my settings...
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Ready to hit record...
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Actual recording happening...Gotta watch that red and yellow on the record/monitor under "audio 1 in the upper left.
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