Software :: Streaming Music And Movie Files To Xbox 360

I recently got an XBox 360 and wanted to stream music and movie files to my Xbox. Somebody pointed to Connect360, which works great: [URL]. Due to the fact that I only have 250 Gb on my iMac hard drive, I decided to keep my movie files on a 500 Gb external hard drive. With Connect360, I can't stream files from the hard drive. I tried creating aliases to both the folder and to individual files. The only files that will stream to my XBox are files residing on the iMac hard drive.

1) Folder aliases are not detected by the XBox.
2) File aliases are detected by the XBox but will not play. The error message is something along the lines of an unsupported media format (I'm not at home right now), despite the fact that a copy of the exact same file will play if it's on the iMac.

Would creating the symlink in a Unix command prompt make any difference?