Ok so finally success!!!
1st I downloaded and updated the drivers to the default ones from the POS system vendor:
http://www.mintronix.com/driver.htmThen setting the touchscreen to mouse emulation (as said in other touchscreen posts)..
I then deleted the mame.ini file and all CFG files in the CFG folder and the individual ini files in the main folder for each Touchmaster game ( I played with both writeconfig on and off)
So with no mame.ini and also erased all the NV files for nonvolatile ram in the NV folder for each game.
started the game up (Touchmaster 5K) and then exited. Mouse was plugged into USB and the ELO touchscreen is hooked up via COM1 serial (internal to POS Touchscreen system).
exit game and open up the config file that is created in the main mame directory.
only changed lightgun to lightgun in input section of the file.
started Touchmaster 5K back up and went into the TAB menu.
It took a while but I mapped the X axis in (This Game) setup by slowly swiping my finger across the X axis (after hitting enter of course).
It took several tries to get it right, otherwise it would map the axis to X and Y.
I left the crosshairs on so that I could see if it was off.
Entered the games service menu and set it to free-play.
Everything is working great on Mame 1.38
Now I need to setup the other games, work on the touchscreen Front End, find some small self powered (or usb) speakers that can be hidden on the back.
Also I need to find what other games would be good. The processor on this runs all of the Magic Touch games at full speed!
Point Blank could be fun?