My son likes to put on my dresses sometimes, prances around in my girly shoes, watches My Little Pony, seems to be somewhat of a germaphobe. However, I am fairly certain he is going to be heterosexual. He REALLY likes girls, to the extent that whenever we go to the park in the summertime, he invariably goes right up to any pretty girls lounging around in their bikinis. Of course, this means little, especially because he is only four.
I think your friend is over thinking things with his youngest. He just needs to give him a lot of love and nurturing, especially because of what happened with that other kid molesting him, and how he misses his mama.