I followed the tutorial, and everything is set up well, thanks DragonsLover!
I found that on my Windows 7 machine I could not get the color palette to display correctly for the Map Editor. I tried compatibility settings, and a registry fix, but I could only get the correct palette by using DXWnd. Just use the default settings, except for selecting fullscreen mode (windowed mode does work, but the mouse does not play nicely and the window size cannot be altered). Make sure you disable all compatibility options in Windows (these seem to conflict).
As stated by DragonsLover, if the palette gets messed up, save and restart the application.
DXWnd also allows you simulate a slower clock speed for the application. Go to the "Timing" tab and tick "CPU slow down" and enter a value in the ratio box. I use a 1:30 ratio on my 3770K (so I entered 30 in the setting menu). The mouse is a little jittery, but you can scroll around much more easily (no more hyper-speed mode!)