So multitouch wasn't working, and seems a common problem. What I was doing wrong... and it was a lot.
First off, I was editing the CFG file that tells you simply that game config files will be in the CFG directory. I've always found configurations for a system in a cfg file, or that was my thinking anyway. So I was editing that when I was trying to get GT2 working and since there was a change in the gameplay with my G sensor, I thought I was doing it right. Nope.
The reason I couldn't find the fpse.ini and edit it was that when I went to open it, it told me it wasn't a valid application. Finally I read under the NOOB thread.. 0; that word was being used to open it and edit it. Finally... however when I found the fpse.ini file posted there and used that... next thing you know fpse the emulator, was no longer a valid application... Last time I deleted and started all over. This time, I took my battery out, waited a little bit, and rebooted.
So when I came back, I decided to try a different game and opened up The Unholy War and next thing you know I'm running around, shooting, all at the same time. So then I go to CFG and there's the nice new cfg file for Unholy War, and the old nasty cfg file for GT2. Need to get rid of that and everything should just be fine. It's always the little mistakes that get you. If you want to share yours, can this be the place?