I got the dros moving. A parallel port monitoring program called parmon was interfering. When I shut it down the dros moved. Here is the result:
X axis would not move when pressing the - key. Direction pin worked properly. When pressing the + pin it would move, sometimes in the negative direction and sometimes in the positive direction even though the dir pin remained at 0 volts.
Y axis would move in positive direction only using - and + keys. Direction pin would not work.
Z axis direction pin worked but no movement in either direction.
All inputs were working.
I built a breakout jig and attached it between parallel port and breakout board to verify that the board was working. Since the x axis dir pin was working, I disconnected all signals to the drives and assigned it to each pin, 2-9, one at a time. Every pin worked.
Since I had tried everything I knew to do, I uninstalled Mach 3 and reloaded it. Now the inputs do not work and the dros are not moving. I believe the above test shows that the parallel port is working but I am not getting the proper response from Mach 3. I am attaching the new xml file.