Problems with ln -s

[Nyandoro]

I have had this perenial problem taht I seem not to be able  to solve.

When I type ln -s Tesfile Targetfile
there are times when I get the resultant Targefile in red. When ever
this happens I have problems when there are applications that rely on
the Targetfile. When I get the Targetfile in some other color orange,
green blue etc then I  do not have the above problems.

My main problem though is trying to find the cause of the failure of the
ln -s process. In all cases I will be logged in as root, but still I at
times have this problem of failure to ln -s.  As it is I am having
problems with this ln -s command which is whta prompted me to mail  you.
If you want any other information  please do request. I am  using Redhat
6.2