in universal email, set the smtp server to:
and the port to 25
set the from address to be a valid email address for your domain.
and check the option to include the from address as an additional parameter.
GoDaddy is notoriously difficult to get working for sending emails.
You should make sure that you are using a Linux based hosting account with GoDaddy, and that it is using PHP 5, if you need help verifying those 2 aspects of your hosting account, contact GoDaddys support.