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Hard to judge over the artifacts without seeing it. In general you can use ACR default settings as a good starting point. You can tweak the sliders in many different ways. But using high iso needs critical exposure.
Viewing on display should be at 100 % for good judgment.
ACR 3.7 is the latest version for CS2 but you better try to update to CS3 (or try Adobe Lightroom. Both work with ACR 4.x 4.3.1 is the most recent version.
ACR 4 has a lot improvements and uses recovery and fill light sliders.
Maybe you can start with the very good book Real World Camera Raw CS3 by Bruce Fraser and Jeff Schewe. (there is also a CS2 version from this book if you don't decide to update.
Thanks for that Omke
have you tried not converting to dng, just processing the cr2 raws? also, I wouldn't trust Adobe for noise reduction. You can get much better with Noise Ninja or Noiseware, then throw some unsharpen mask over it.
Thanks N Name - there's obviously a lot to learn here - thanks for taking the time - Roger