How to knit dissapointment

I have been knitting like the wind on my circle cardigan the last few days. I finished the body (per the instructions) and started in on one sleeve. In my excitement, I tried it on with just the one sleeve hole opened up and I am pretty much 100% sure it isn't going to fit in any way.

But I followed the directions exactly! and they are based on my own measurements, so how the HELL can it be wrong? I think the error comes in with the fact that you're supposed to knit the front portion the same size as the back. Well, I have a lot more of me on the front than the back...you know, these breastual things...so I think I should have knit a LOT more on the front. As it is, the sides of the cardigan, when pulled taught, don't even come to my nipples :

I also think I made an error. The directions had me making a circle the diameter of my back plus 1"(which I did) and then knit in some waste yarn for the armholes, which would be done later. Well, the directions for where to put the arm holes were VERY sketchy and just didn't make any sense and, rather than email the pattern designer to clarify, I just assumed I knew where they should go and put them there. Now, the cardigan isn't right. You're supposed to wear it one way for a longer back and shorter shawl part and then you can flip it to make a shorter body and larger shawl part. Well, my arms are in the middle, so it's just...even and floppy.

As much as I wanted to have this cardigan, I think I am going to unravel the arm that I've knit thus far, kitchener up the arm holes and then call it a throw blanket and send it to my sister for her birthday.

*grump grump grump*

When can't I ever seem to knit clothing correctly? *feeling really down on myself today*