Finally found a video of my actual model on youtube:
http://www.youtube.com/watch?v=6xvlC2D67zg
This video shows the agressiveness of the internal water. Within the skimmer cup column you will notice it is like rapids, instead of a nice bubble head rising to the top. Is this what I should be doing?
If this is the case, maybe I am tuning this thing wrong. So I have put it back in the sump as the video shows, and how others here explained. I will let it settle, and eventually it will go crazy like the video, I will then adjust accordingly. Then I will see if it can hold this level and aggressiveness.
If this is the case, boy this skimmer functions totally different to any skimmer I had before.