What computer operating system is your Premiere Elements 10 running on? What video card/graphic card is your computer using?
Please review the DV data capture firewire into Premiere Elements details to assure that you are going by "the book".
The link is for version 11. In spite of the drastic workspace changes from 10 to 11, the Capture Window details will be helpful.
Are you able to do a DV data capture firewire into Window Live Movie Maker/Movie Maker or the WinDV programs?
Please confirm that you are using a firewire and not a USB connection.
We will be watching for your follow up.