remote X

I have VNC up, running and working just fine but I think that I would
like to play with xwindows without the VNC. I am considering that this
is a trusted network...

I have tried...

on server - 'xhost + 192.168.2.100

and from client - logged in via ssh as a user and then...

'xterm -display 192.168.2.100'

and gotten an error (something like, unable to open display)

Is there a manual / howto that explains to me how to do this in spoon
sized gulps?

Thanks

Craig