Ok. Here are the Instructions for Updating your HTC Evo 4g rooted with Revolutionary recovery. I hope some people find that this update is pretty painless and easy.
Step 1: Download one of the rooted Update Roms from Brad. Read the thread to see which one is right for you. (Thanks Brad!)
Step 2: Plug your phone to your computer using the USB cable. Select Disk Drive on your phone.
Step 3: Copy the rooted 2.3.5 Rom to the root folder of your SD card on the phone.
Step 4. Rename the file you just copied to the SD card to update.zip
Step 5. Once the file is renamed, unplug the USB cable and Power off the phone.
Step 6: While the phone is off, remove the battery for a few seconds.
Step 7: Once the battery is replaced, you are going to start in Recovery Mode by holding the Power and Volume Down buttons at the same time. Hold them down until you see the Revolutionary HBOOT screen.
Step 8: Use the Volume Button to go to the the Recovery option. Once highlighted, press the power button. The phone will now boot to the Revolutionary Recovery console.
Step 9: Scroll to Backup and Recovery and enter into this section and backup you current Rom. (if you prefer not to backup you can skip this step, but it recommended.)
Step 10: Once the backup is finished, Go Back to the main menu and select the Update from the SD Card option. On the next screen, scroll to the Yes (sdcard/update.zip) and hit the power key to enter. The phone will now start the update.
Step 11: When the update is finished, Select Reboot Now from the menu and the phone will restart. You are now updated to the rooted stock 2.3.5 Rom.
* You will NOT lose your apps or data if you follow this method.
* This does not update the Radio, that is a separate procedure. I have great data speed and connectivity so I don't want to mess with my radio.
* I did not experience any data storage loss when performing this update method.
* No more Carrier IQ installed on this update from what I can tell.
Good luck and I hope these instructions help.