You set the parameters to pass the report for the autosequence, in the Autosequence Steps options. Go there, select the step (your report) goto the RANGES tab and enter the values you want. The values available for a report are dependant on the report class of the report template.
i.e. a report that is an RVC Sales Balance class, can be passed a DATE and an RVC parameter.
Additional ranges (for other report templates) are SHIFT (ie current, previous or all) or RANGE (ie From employee number, to employee number OR from menu item number, to menu item number)
For the typical report you select the date range (yesterday, today) or for a consolidated report go Last Week, or Week to Date.
I would not listen to the person putting you crook in the report explorer. Its a tool to be rum on a win32 client, on a BOH PC. The beauty of autosequences is that you can run them from front of house, automatically on schedules etc.
I can put some basic steps with screen shots if you need a demonstration of how to do it. There is also Report Viewer that runs through Windows Explorer and uses Adobe Reader to present the report through IIS as PDF files (if you have version 4.5 on I think)