Windows Mobile 6 offers a great developer experience in Visual Studio 2008. The combined features of WM6 SDK + VS2008 provide excellent new ways for testing your applications for reliability and resiliency. Testing WebServices, however, is not an out of the box experience. So, developers have to take specific steps to make sure they can consume (test) the WebServices hosted locally in the development machine from the emulator.
Following is my suggested sequence of steps you should take to make this work:
1) FROM WITHIN VISUAL STUDIO:
2) FROM WITHIN THE DEVICE EMULATOR MANAGER
3) FROM WINDOWS MOBILE DEVICE CENTER (WMDC) (This is required to make DMA the transport between the device and the host)
Good luck in your mobility journey!