nimic,
You said that you're using Ctr1 to generate the PWM in question, right? I'm assuming that this is only for testing the detection method, otherwise you'd know in software when the duty cycle is being changed.
One thing you could do is use the other counter, Ctr0, to count edges of the PWM signal. With a 244 Hz PWM signal, the count should increment once every 4 point something msec. If too much time goes by without seeing the count increment, you must be at 0% PWM.
Basically, this is just a variation on your attempt that polled a digital bit. This way though, the counter hardware will catch the digital transitions so you don't have to perform fast software polling.
-Kevin P.
CAUTION! New LabVIEW adopters -- it's too late for me, but you *can* save yourself. The new subscription policy for LabVIEW puts NI's hand in your wallet for the rest of your working life. Are you sure you're *that* dedicated to LabVIEW? (Summary of my reasons in this post, part of a voluminous thread of mostly complaints starting here).