hippie - so sorry for laughing - but i completly understand what u are going thru! we have been going thru that with Bianca pretty much since day dot!!!! however last few days have been much better!
With the wrapping - Bianca HATES having her arms in also - but if they are in than she sleeps better - because than when something gives her a fright she dosent jump as much and her arm reflex's are controlled - so just keep perservering with the wrapping!
and i have found that usually if she wont settle its for a reason - maybe gas or wind! so we just pick her up - burp her and put her back down - if the dummy has fallen out than we put it back in - this can go on for awhile but eventually she does fall asleep!
Don't give up - ur doing great! and just like us - u will get there soon!