Extend Existing Wireless Network

I am trying to extend my existing wireless network. I think I have it set up correctly, but I have a question about it. I initially had the network set up with a 2WIRE modem (AT&T) and an Airport Extreme. It has been really sluggish as of late, so I re-positioned the modem and AE (out of entertainment cabinet) and now it's more out in the open.
After doing that my Macbook which I use upstairs was running pretty fast, but the iMac which is downstairs and on the same level as the modem/AE was running very slowly. So, I thought I'd extend the network using an Airport Express. I think I have it set up correctly, since everything seems to be working just fine, BUT the question I have is...does the Express HAVE to be plugged int the modem in order to extend the network?
I thought the whole point of using the Express to extend the network is that you could have the Express in between the modem/AE and the computer - on the same level of the house or another level, or at least in another rom on the same level.
I hope I've explained my situation well enough for anyone to be able to provide assistance. Everything is working fine, but I guess I'm looking for some reassurance that I've done things correctly
and maybe a better understanding of how extending a network really works.
Thanks in advance for any help.
Julie

Hello Julie
To extend your wireless network I suggest you do the following;
Take the express and extreme into the same room. Ideally, plug the extreme into your modem using an ethernet cable and have the express hooked up to power on its own in the same room.
I would reset both device to their factory defaults and start over. To reset the devices to factory defaults, unplug them from their power source, hold down the recessed reset button while plugging them back into to power and continue to hold the reset button until the one LED begins to flash rapidly.
Do this with the extreme and the express. Now open airport utility, select your airport extreme and set it up from the start using the continue button and answer all the questions. Once the extreme is setup, you should see a large green checkmark. See the mac you set it up with can connect to the internet.
If you are on the internet through your extreme's wireless network you're almost there.
Step 1. Using airport utility select the airport express and click continue. The key here is to ask the express to join an existing wireless network when the question arrises.
This should do the trick for you.
Alternate to step 1. If you want to you can skip step 1 above and select your extreme using airport utility, go to the Base Station menu and select Manual Setup, click the Airport icon from the manual setup window, click the Wireless tab and put a tick next to "Allow this network to be extended". This will instruct the extreme to allow its wireless network to be extended. Update your extreme after turning on this option and give it about one minute to update itself.
Now, using airport utility, setup your express to using the continue button and instruct it to join an existing wireless network when the question comes up.
So you have two options, either should do.
Hopefully this was not too difficult. Airport utility will still see the two airport routers but from your airport menu you will always see only one network because the extreme and express behave as though they are one large network.
Consider unplugging the express now and moving it to the other floor. After you take the express upstairs, give it a minute and if it is in range of your extreme it will assume a green light, if on the other hand it continues to flash amber it's possible that it's too far from the extreme. In this case consider plugging the express into a wall socket nearer to the express.
Does this help?
Most of what I explained might be better explained by Apple, see page 43 of http://manuals.info.apple.com/enUS/Apple_AirPort_NetworksEarly2009.pdf. The steps on page 43 are what you would do with your extreme - to extend its wireless network.
Let me know how it goes.
If your devices are under 90 days old you still have complimentary phone support. If you have an AppleCare protection plan on your mac one of your devices are covered for hardware support and the 3 years phone support. If you are eligible AppleCare will be able to walk you through this.

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    Ok... it is getting a bit clearer but there are still some questions.
    I connect to the internet via airport only and it is pretty fast.
    I was assuming airport in this statement in your first post meant the TC or the Express.. but I now realise we are still in the mass confusion stage where apple calls everything wireless an airport. So what you mean is the airport internal card of the computer??
    Also, I didn't want to bridge TC with my new fios router that I paid 100 dollars for, to get N speed and also paying 10 dollars more a month for fast speed.  I heard that bridging slows down everything and then there can be port issues with mail etc.
    I think this is mistaken.
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    If the computer is close it will be faster than the FIOS.
    You can run both wireless networks with different names.. so it is clear which is which. But you can also setup roaming so the computers themselves pick which is the best wireless.
    I tried extending the wireless net work and tried joining wireless network, but the TC kept crashing and I had to keep resetting the TC.  the Apple support person said these, extend wireless network and joint wireless network, are no longer a connection option with the new TC because of the new AC protocol.
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    You cannot extend to a non-apple wireless router.
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    But that has not changed.. I don't think Apple support is correct.. there has been no change with the AC model.. it is simply a fact that apple routers do not work in join wireless mode other than as a dumb client. The same applies to AC as to the earlier version.. but I have asked another person to check this.
    Join in the express is the only apple router that still allows an ethernet connection.
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