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I have a gaming PC with a Sapphire 7860 card and i5 ivy bridge processor etc.

But I was reading on some issues like backwards monsters and what not and I want to make sure I don't encounter them as I go. I am running PCXS2 1.0.0(r5350)

Should I run into any issues? What should I set to get some HD resolution if I can max its settings? Any suggestions on "must do's" for PCSX?

Set clamping mode to extra to avoid monsters facing backwards.
Use as less speedhacks as possible.
Set gsdx internal res to x3, and you should get good results.

- Emulation Settings : Tab EE/IOP : set round mode to nearest, Set clamping mode to full ( backwards monsters)
- Plugin video setting: check "Enable HW Hacks" > Configure > Check Aggressive -CRC ( fix blurred images)
- You should download pcsx2 svn ( latest version)

Thanks to you both. And especially the blurred image fix for the battles.

Should I keep the 1920x1080 resolution or change to the x3 native that you suggested jesa?

3x native won't push your GPU as much as 1920*1080 and the game will look practically the same

custom with res of the screen ( your computer)
for example : screen of laptop 1366 x768 > custom res 1366 x768 ( very nice, better 2x native)