Lucia,
Glad to hear it's working now, for whatever reason
As for setting the SCLogin as a menu item.. in short, you can't.. at least not with the SCLogin module. Our module is just that, a module, not a menu item.
If you're looking to do something like what we did on this site at the top, we're using the SCLogin module in a normal module position in the top right of our template. We've configured the module to show text links instead of buttons though, but that's it. It's not really a menu, though it looks like one.
I hope that helps,
Alex