If you are hosting with Bluehost, here are a few troubleshooting tips.

Purchase a dedicated IP address ( it is included in their Pro Package) and is very inexpensive.
Tell the tech support agent (Level 1) that they need to have a new port opened for SMTP both inbound and OUTBOUND.
That requires a Level 2 tech, who will open a port in the 2000 range. The test button then connected immediately from within Webinar Ignition!

I ended up talking to the engineer that heads up Bluehost tech documentation and training, and he is now aware of the problem that 587 is only open for INBOUND traffic. He is writing up an Alert for all techs that explains the fix for Webinar Ignition customers. The problem was a simple fix, port 587 is only allowed open for INBOUND traffic, so once they opened an INBOUND/OUTBOUND port in my account it all works.