Jacks right, that light is too far away and thats why they are stretched...in my first post I suggested you have the cfl inches away and I didn't mean 18 inches. I used an 85 watt (actual) cfl on my seedlings at about 3" - 4" and its perfect.

The yellowing is likely from over watering. They should not need watering daily, even if it looks dry on the surface. You should transplant those into regular 6" pots now and saturate them when you water till you get runoff, then allow them to dry thoroughly - water no more than every three days (if needed), once a week after they have rooted a little better. (This varies of course based on many conditions - its just a guideline). Feel the weight of the pots when they are dry and then again when they are saturated ...soon you will know by feel when they need watering.

Depending on your ventilation you should be able to spark up the 400 watt in a few days....start it 3 feet away and see how the plants take to it...adjust as needed. My current grow has 400w cooltubes and I am able to get the plants about 6-10" away from the lights with zero problems.

All of my early problems were either over watering or using nutes too soon...avoid those pitfalls and you'll be well on your way. Good luck and happy growing.