Make sure that you are using the latest version of WebCam Monitor. To download the latest version, visit:
https://www.deskshare.com/wcm.aspxIt seems like the e-mail is being sent. However, because your e-mail server requires authentication, it might be denying a relay to your e-mail.
To diagnose e-mail related problems, you can view the e-mail log after attempting to send a test e-mail. This option is available in Tools ] Options ] Alerts tab ] Email/SMS Notification.
If this is a relay problem then you will have to contact your ISP.