The RED needs to be able to open outbound connections on port 3400 on both TCP and UDP. It also need to get a DHCP address, and resolve DNS. That's really all you should need.
I was able to get the tunnel light to come up when I was directly connected to the cable modem. That leads me to believe that my configuration is right but my home asg is blocking traffic. I checked and it looks like the packet filter is blocking port 67 and 68. I was able to allow those ports and I don't get the drop connections for that anymore. I also tried to allow port 3400 but I don't see that it is getting dropped or anything. Is there anything else that needs to be port forwarded?