I am using the grub4dos method.
This method suggests adding the word "persistent" to the "linux" line in the grub.cfg file. In grub4 dos there is no grub.cfg file only the menu.lst. The menu.lst file does not contain the "linux" line that isthe original Grub4Dos way can. Just follow the same procedure as with the GRUB2 way.
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linux (loop)/casper/vmlinuz boot=casper iso-scan/filename=/ubuntu.iso noeject noprompt splash --
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kernel /casper/vmlinuz boot=casper iso-scan/filename=/ubuntu.iso noeject noprompt splash --
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title Ubuntu 12.04 LTS Desktop ISO
find --set-root /ubuntu.iso
map /ubuntu.iso (0xff)
map --hook
root (0xff)
kernel /casper/vmlinuz boot=casper iso-scan/filename=/ubuntu.iso noeject noprompt splash --
initrd /casper/initrd.lz
Regards,
Ken.