I found a bug report that describes why x-window displays cannot be forwarded:
https://bugs.maemo.org/show_bug.cgi?id=2494
It describes how xauth and libxmuu1 must be installed in order to make x-window forwarding work.
I believe I enabled the repos required and tried to apt-get them but the terminal keeps telling me that they are not found. Actually I can't get by trying to install libxmuu1, which is a dependency of xauth. I think the reason may be that they are working with Diablo 4.1 and those instructions may not apply to me as my current version is OS2008 version 5.2008.43-7.
I thought this was going to be easier than trying to get a sync to work! Any help would be greatly appreciated. Don't want to give this up yet.
Bonny