ATmega328 with the Arduino Optiboot (Uno 16MHz)

spcomputing:
If you are labeled correct, you are going Rx->Rx/Tx->Tx and it is not the "BAITE" board, you will need to cross the connections Rx->Tx and Tx->Rx. When you upload, you will need to hold the reset and wait till the Tx on the USB2TTL board Tx LED Flashes 2x. You might want to test with the UNO Optiboot and the Duemilanove 328 boards in the Arduino IDE.

Later, you might want to hook up a 0.1uF cap to Atmega pin1 and your USB2TTL RST (DTR?).

doing exactly what you said worked, and now its working perfectly.... thanks so much for the fast reply and your help :), problem solved
xvjeko