After downloading the images and start the instances, the instances starts up and I saw the status become running for the first time! (Yay!)
BUT! When I try to connect to it, I was not able to. When I look into the console output, I saw the error message:
2011-07-11 09:15:35,306 – DataSourceEc2.py[WARNING]: waiting for metadata service at http://169.254.169.254/2009-04-04/meta-data/instance-id
2011-07-11 09:15:35,308 – DataSourceEc2.py[WARNING]: 09:15:35 [ 1/30]: http error 
2011-07-11 09:15:36,313 – DataSourceEc2.py[WARNING]: 09:15:36 [ 2/30]: http error 
2011-07-11 09:15:37,317 – DataSourceEc2.py[WARNING]: 09:15:37 [ 3/30]: http error 
2011-07-11 09:15:38,323 – DataSourceEc2.py[WARNING]: 09:15:38 [ 4/30]: http error 
After googling around, I found exactly what I was looking for. Someone posted a message on the Launchpad Answers and having exactly the same issue. Looking through the reply, I realized I made an error in my /etc/nova/nova.conf file about about the –fixed_range= which I set it to the network range the same as my eth0 card and everything is working as expected after.