access forbidden error 403

[#1]

I'm very new to all of this cgi and wordpress sites so...
My domain points to my CGI space, but the main domain is blocked and I get the following message
Access forbidden!
You don't have permission to access the requested directory. There is either no index document or the directory is read-protected.
If you think this is a server error, please contact the webmaster.
Error 403
www.conjureevents.co.uk
Thu Oct 28 10:16:22 2010
Apache
Following the instructions I set up the wordpress website in a sub folder called blog, and the domain points to this, but it doesn't work, if I put /blog in the end, it seems to work. Sort of.
I then get the ~stephenaryan/blog/ in the address and as soon as I move elsewhere, the address changes and shows my ccgi address.
I've read some stuff on the forum , mostly posted by Gabe, about an .htacess file, but when I created one of those following his instructions nothing changed. Any changes to the .htaccess file didn't do anything either.
I'm still puzzled why .co.uk is blocked, but .co.uk/blog sort of works.
Any help would be appreciated for a newbie to this.

[#2]

It looks like DNS points to your ccgi webspace top level and you get 'access forbidden' because you don't have an index.htm or equivalent file in that directory. If you want to redirect that to domainname/blog/ you need to do that using .htaccess.
Did you base the .htaccess file you created on Gabe's post here?
You also need to include the rule to deal with the (lack of) trailing slash problem mentioned later in Gabe's post.
I think links moving to ccgi addresses is most likely due to Wordpress being installed with that set as the home directory in the configuration file (so that is where the links point to).

[#3]

Thank you for replying, I can see there are a few different problems that need sorting, but I think I can fix a couple of them without too many problems.
I'll refer to that link for the .htaccess file.
Thanks

[#4]

This problem has now been completely resolved.
First, because I'm not using my cgi space for any other websites, or any other Wordpress websites, it's not in a sub folder, so the index.htm file is now in the root.
Second, I adjusted the setup home directory in the Wordpress dashboard to point to the new location and it got rid of all the (tilda/username) in the urls
thanks again

[#5]

Thanks for this feedback. Glad to hear things are sorted now.