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Getting error message in TELNET

Here's what i am doing to test if my relaying is working on my server:

TELNET mail.example.com 25 Trying 10.10.10.1.
Connected to mail.example.com.
220 mail.example.com
HELO mail.example 250 OK
MAIL FROM:<sender@example.com> 250 OK - Mail from <sender@example.com>
RCPT TO:<youremail@outsideaddress.com> 250 OK
DATA
This is a relay test and only a test.
------------------------------------------
and then i'm getting this message at the end:
550 5.7.1 Requested action not taken: message refused

I've enabled the relaying for my computer to the mail server.

I'm looking for some suggestions to help me please :)

Regards

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rakeshmiglani
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Thanks,

I'll give you some other info, on my exchange 2003 server i've enabled the relaying for my workstation IP adress (192.168.10.125).  In the TELNET prompt i only used email from my network to see if it work but i'm still getting the same error message...
that is fine. but exchange would not accept emails for any other domain if that domain is not configured in the recipient policy.