High Poly bake to low poly I'm just playing around with Cycles, trying to bake a normal map onto a low poly mesh.  After a bit of trying, this is the best I could do, however, it's clearly not correct.



I'm not 100% sure how to improve it.  I've been reading about cages, but after messing about with larger/smaller cages, it didn't seem to make much difference.

Maybe I've UV unwrapped it incorrectly, or perhaps there is something I'm overlooking?  I'm still reading up on how to do this properly, however I'm a little confused.

Any input or advice would be greatly appreciated.

Thanks

Update:
Blend file is available here:
not sure if this will help. However when baking is giving me issues I reset the unwrap with: U then select reset while in edit mode. delete doubles with: w remove doubles in edit mode. Press control N to recalculate normal's in edit mode.Then finally re unwrap using smart project. then bake, it usually fixes any issues I have.