From experience of my favicon.ico not appearing, I am sharing my experience. You can't get it to show until you put your website on a host, therefore, try put it on a localhost using XAMPP - http://www.apachefriends.org/en/xampp.html. This is how the favicon appears and like others recommended, change:
rel="shortcut icon"
to
rel="icon"
Also this way .png favicons can be used for slickness.