I downloaded this file: https://www.microsoft.com/en-us/software-download/windowsinsiderpreviewARM64?wa=wsignin1.0. It can't automatically find it, when I go to manually select it, it says unable to detect operating system, and if I continue it won't create the VM.
I'm having the same issue. Trying to install Windows 10 Insider Preview edition on Macbook Air with M1 chip. Cannot automatically find the VSDX file. When I manually open the file, it won't detect that it's Windows 10. When I try to install Windows 10 on Parallels it will just create an error message.