need help with Direct Cable Connection in Windows

I am receiving problems connecting to my host.
this is what I did:
guest(Win95) is connected(serial) on COM2 and host(Win98SE) is connected(serial) on COM1. no passwords are enabled. the host computer allows access to all folders in all drives (all folders are shared). both computers are connected. I set the host to wait for the connection and I connect with the guest. during the initial connection, it mentions something about checking passwords and then the connection is revoked. what's going on? can someone help? thanks. I'll provide more specific information upon request.