I've picked up a Seeedstudio Rainbowduino and I need to upload a sketch to it's onboard AtMega168. From what I've been reading you can gerryrig another Arduino to pass through a TTL stream.
When I wire it up, RX/TX/DTR/GND/VCC and hit upload on my Seeeduino the Rainbow obviously registeres something as it resets but the Arduino IDE ends up throwing an error.
i assume u have removed the chip from the host arduino and made sure u got the rx and tx the right ways round?
also i have found i have to manually reset a board b4 it will take a sketch even tho the ide reset it just b4.. not sure wats going on there prolly just my hardware or my crap old laptop i was using..
alternatively u can make a simple rs232 to ttl converter (if u have a serial port on the pc), but the method u are trying should work..
double check your connections and settings