Nelson,
For those little fuzzy bumps, this is totally normal, in my experience, this happens often, they are not root initials, and I've been fooled also. I've had green wood with so many white fuzzy bumps that the cutting looks creamy, then within a few days, they all turn brown. I don't know what this is, really, it's almost like the cutting is secreting something. It's been discussed in quite a few threads here.
The hardest part of using the method you're using (or the baggie method) is being patient enough to wait till definitive roots are showing. That can take, it seems, sometimes upwards of 2-3 months at a constant temperature. Sometimes it can take as little as 1-2 weeks. Even with the same batches of cuttings! But, if you see the little white fluffs everywhere, and you transplant before rootlets appear, then you basically have no idea what's going on with the roots. It could be months before anything happens under the potting mix, and you see roots.
I made the mistake of cupping up some Hardy Chicago cuttings after seeing little white bumps all over, they were everywhere. After sitting in cups for almost 10 weeks doing nothing - while all other cuttings had well-rooted at this point - I finally broke down and carefully uncupped the cutting, only to find brown freckles and no sign of roots. I thought the cutting was ready to go into the cup because of the spots.....lesson learned. Back into the baggie they went. Seems it's easier to start roots - or at least easier to watch progress - from inside the baggie.