Video Problems, Please help pics included.

Hi Guys!

So I have been having a little troubles with my Garry’s mods since i built my new computer.

Specs:
Mother board: AsRock P55 Extreme
Processor: Intel Core i5 750
Graphics card: Nvidia Gtx 260
Ram: 4 Gb
OS: Window 7 32 bit

Ill start off with the menu.
Ok So Whenever i load up Gmod the window im using seems to go behind a window im not using. Example Im using the console and i open my options window, my options window is hiding behind my console when ive got my options window selected.

http://img6.imageshack.us/img6/979/gmodj.png

As you can see i have the options menu selected but it is hiding behind the servers menu.

Now, ingame.
When ever im just running around i sometimes get video errors like this:

http://img202.imageshack.us/img202/144/gmflatgrass0000.jpg

And this:

http://img138.imageshack.us/img138/7663/gmflatgrass0004.jpg

I am also getting another error:

http://img704.imageshack.us/img704/7679/gmflatgrass0006s.jpg

That is supposed to be blood where those little red squares are.

Yes i have done a couple of things to try and fix this but i have not yet found a solution :(.

I have:
Deleted my gmod folder.
Removed addons.
Completely reinstalled gmod.
Updated my graphics card.

None of the above had fixed anything.

And no none of these bugs happen in any other source game.

I would like to thank anybody who decides to try and help me in advance.

Sorry for the huge images.

I think it might be DirectX 7 causing it, because that blood happens in directX 7 too

I have zero idea if it is or isnt, although.

Ahhh there we go.

Set launch options to directX 9.
Thanks Mate!