I don't have a SpeedTouch router but within its settings there should be an option to toggle its Wireless Access Point (which is what makes it a "Wireless" router) On/Off. The fact that it is displaying a red WLAN light suggests that the wireless LAN may need to be switched on.
Have the checked the trouble shooting section on the manual on the CD but it says nothing about a red WLAN. Only gives advice when "none of the LEDs light up" Checked the website speedtouch.com but nothing there either...
The Service Set ID is being broadcast, yes? If it's not, it will prevent a first-time connection. It can be switched off for subsequent use.
And is the wireless device's adapter powered up? You can still access the Available Networks List window if the adapter is switched off and it will not specifically tell you that it's off other than displaying the red cross on the WLAN icon in the Notification Area. This can be a bit annoying if the adapter is off and you haven't noticed.
Follow the steps to see if you have any connectivity at all:
This will reveal your PC's network DNS suffix(name), the IP address of your PC, and the IP address of your router (you may already know your IP address-your router will be something like 192.168.2.1 and your PC 192.168.2.2 etc etc)
This test will reveal if your PC recognises the network & router
From your PC, again click Start>run
At the command prompt then type: ping 192.168.2.1
(or what ever the IP for your router is - leave the space after ping!)
If your PC can see your router you will get a response recorded in milliseconds - try the same procedure between other PCs on your network.
If you get no response at all you have no network connection at all.