Prepare the OS for installation in the guest
Make a directory for the RHEL iso image:
mkdir /var/lib/xen/iso
Copy the RHEL DVD or boot iso image to /var/lib/xen/iso
Put the iso image in the correct security context:
chcon -R -t xen_image_t /var/lib/xen/iso
Use the Virtual Machine Manager or the virt-install command-line utility to create a guest. Use the following settings:
Install Image: use the boot or DVD iso set up previously.
Image File: specify the full path to file in /var/lib/xen/images. Specify a file size of 7GB. Note that this file will be created if it does not exist previously.
Memory: use 500MB (default)
CPUs: use 1 CPU (default)
if using virt-install - answer "yes" to the "enable graphics support" question.
Use the Virtual Machine Manager to open a graphical console to the quest, and complete the RHEL installation in the guest.
Set the Firewall to "disabled"
Set the SELinux to "Enforcing" (default)
After installation of the OS is complete, the guest must be restarted via the xm command-line:
xm create <guest name>
Then use the Virtual Machine Manager to open a console to the guest.