You had basically one pixel or less on UV/texture on the portions that mattered - the inner rings, so there was not enough information for a good bake. I suggest keeping all inner rings on a separate smoothing group, and on separate UV shells, you could arrange them as a long horizontal strip. This way there'll be enough…
If you're talking about the funky colors in your normal map, most of that looks to be pixel padding, which is a good thing. What's it look like actually applied to your mesh? Additionally, a cage would fix any projection issues you're having, if you are actually still having issues.…