After lots of searching I finally found a working solution to get your hotmail working with exchange on your email. You can access all your folders and use PUSH. Thanks goes to Aramos44
Here is a link to the user that found it.
http://forums.crackberry.com/f169/hotmail-activesync-htc-evo-530201/
Here are the steps
1. Download and install the attached "Email.apk". (You can install this with Astro file manager or Android Mate, Which can be downloaded free from the Android Market)
2. Download and install the app "save my attach". (Can also be downloaded for free from the Android Market)
3. Now your ready to setup your Hotmail Exchange Activesync account/s.
- Enter the Email app previosly installed and enter the following info for each account you wish to add.
Press "Menu" and click "Add account"
Username: username@hotmail.com (or @live.com)
Password: **********
Then click "Manual setup"
Domain\Username: \username@hotmail.com (or @live.com) make sure you include the "\"
Server: m.hotmail.com
Make sure you check both "Use secure connection (SSL)" and "Accept all SSL certificates"
Hope this helps. It did for me!!! 
If I have helped you please hit the Thanks Button!