I have a 3 cup. What works best for me so far is:

• Spoon enough whole beans into the basket to fill to about 85% (I don't bother weighing them).
• Grind quite fine, to the middle of the so-called espresso range on my cheap consumer grinder, probably not like real espresso but finer than drip. The grounds are light and fluffy.
• Fill bottom part of pot with cold water to the bottom edge of the metal valve
• Put basket in pot, fill with the ground coffee which should be just enough to fill the basket level (use a spoon to level it off) without significant tamping.
• Screw on the top part tightly, using the spout to get a bit more leverage while tightening. Don't use the handle for leverage since it bends or breaks easily.
• Heat on stove, medium heat. This is a slightly annoying step because it takes several minutes and you have to keep paying attention to it starting around 2 minutes in.
  
• After 2-3 minutes you'll hear hot water noises. A little while later there's a kind of slurping sound as coffee comes out of the spout (you can lift the lid to see this). Finally there's a gurgle as the bottom empties of liquid and is only shooting steam.
• As soon as the gurgle sound appears, take the pot off the heat. Wait a few moments then pour out the coffee.
• Let the pot cool in the sink, then clean it all out, including cleaning the gasket/screen very well. If you don't do that then you end up having to replace the gasket more often.