To my knowledge, LabVIEW does not offer a cursor mode which locks to the curve, but does not just skip between the points. It is either totally free or on the points. My apologies for not understanding your original question. My previous answer assumed you would use the free version and position the cursor over the line, then read the position (subject, of course, to screen resolution).
You will need to do a simple interpolation yourself. As I mentioned, LabVIEW includes some interpolation routines which may be useful. Look in the analysis VIs. However, a linear interpolation is pretty simple if you want to do it yourself.
If you are up for a challenge, you can make LabVIEW do what you want to do. You can use the mouse down and mouse move events in an event structure to move a free cursor to the proper location on the graph. This will give you the functionality you want. You probably want to set the Cursor.AllowDrag property false so that the mouse does not move the cursor. You will be doing that programmatically.
Alternately, you can use the coordinates of the free cursor to simply calculate and display a linear interpolation of the Y value at the cursor X position.
Good luck. Let us know if you need more help.