I’m not sure what the state of picoscope support was in v4.0.1; explicit support for picoscope inside CW has been disappearing over the years (it’s gone in CW5).
Do you have pico-python installed? I think CW4 relied on this.
If you still can’t get it to work, I would recommend trying to run it from outside the GUI, which should always be possible regardless what version of CW SW you have (see e.g. this recent post).
I do want to warn you that you’re probably better off using your CW1173; the benefits of the higher sampling rate of your picoscope are reduced or non-existent because it can’t sample synchronously with the target clock. This paper shows some nice results comparing the two.
IMO, picoscope is for when you don’t have CW capture hardware (or when you don’t have access to the target clock).