Hi,
I see a few things wrong with this VI...
1) You are using a Read from Digital Port VI. You should use Write to Digital Port VI instead.
2) You have the data wired into iteration input. The help shows us the following for that input:
iteration can be used to optimize operation when you execute this VI in a loop. When iteration is 0 (default), LabVIEW calls the DIO Port Config VI to configure the port. If iteration is greater than zero, LabVIEW uses the existing configuration, which improves performance. You usually wire this input to an iteration terminal.
3) You are using Traditional DAQ. What hardware do you have? What version of LabVIEW are you running? If you have LabVIEW 7.x then you will most likely be able to use DAQmx to control your device. DAQmx is our newer greatly improved driver. You can find shipping examples in LabVIEW by going to Help >> Find Examples >> Hardware Input and Output >> DAQmx >> Digital Generation.
Hope this helps,
Sal