Not exactly. This letter informed you that you were not accepted for SLS, however opening an appplication for SLS is also a pre-application (name?) for west point admissions. By opening a file for WP, you are now a candidate for admission; this has nothing to do with being qualified or unqualified- its neutral. Because the data you entered for SLS was self-reported and not official (ie transcript would be official), they cannot say whether or not your qualified.
Also don't get discouraged about not attending SLS, because many many cadets now at WP never attended SLS. Good Luck!