I installed the forwarder dol by going to "Load/Install File" in priiloader, pressing 2 to delete the current file, then choosing the forwarder and installing it.
I have just done the same but chose the actual USB Loader GX dol instead of the forwarder, but then I get no signal when I boot the wii and I have to go back to priiloader and delete the installed file. I don't know what else I can do in terms of configuring priiloader in order to get it working!
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You should be configuring priiloader to run the app directly. Not the forwarder. (I don't use forwarders, since I think they are more trouble than they are worth).
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Ok, that clears that up! Now, any idea why I get no signal when booting the app directly? In fact, I think the wii hangs as I gave to hold the power button to turn it off.