Try to power up the EMU before connecting the parralele LPT cable...perhaps your PC is introducing power through this cable and it disturbs the whole internal reset of the EMU.
The emulator starts in run mode if the clock source is a signal input on the probe board (OSCIN position).This problem can get removed by two ways:
1.by giving power to the probe board.The probe board gets power when we connect application board and give it power. 2.by removing IC (74HC04) from the probe board.