OK, Check:

Code:

technique toon
{
	pass one
	{		
		VertexShader = compile vs_1_1 toonVS();
		PixelShader = compile ps_1_4 toonPS();
	}
	pass two 
	{
		CULLMODE=CW;
		vertexShaderConstant[0] = <matWorldViewProj>;
		vertexShaderConstant[16] = <10/20.>;
		
		VertexShader =	asm
		{
			vs_1_0
			dcl_position v0
			dcl_normal v3
			dcl_texcoord v7
			mov r0,v0
			mul r1,c16.x,v3
// Scale the normal
			add r0.xyz,r0.xyz,r1.xyz
			m4x4 oPos,r0,c0
// Transorm position to clip space
			mov oD0, c0
			mov r0,c0
		};
	}
}


That's the whole technique, in case the problem may be more than just the asm.

Code:
void main()
{
    cout << "I am MrCode,";
    cout << "hear me roar!";
    system("PAUSE");
}