Alright ally, i think i am on the right track with this now. Just another question mate. I have done what you told me to do with the Line In Volume. You know when you click autoset and then 'Go' does your volume indicator at the side slide all the way down to the bottom? This is what it is doing with mine.

Levels seem to be ok. My volume is just goin over the green bar tab slightly, but its sounding ok when recorded.