Some newbie questions about Onkyo 303

just got this bad boy for christmas to upgrade from my old Kenwood. Couple questions if anyone can help?


1) Should I always leave it on Direct mode for input as opposed to any of the PLSII, Neo6, etc modes? Manual said direct mode = best quality sound. The input is a digital coax cable from HD Cable box and an optical from Xbox360


2) When bouncing thru channels on TV, is there anyway around that annoying "click" noise it makes when like its a Dolby Channel vs a non-Dolby channel?


3) Crossover Freq. - should I use 100, 120, or 150? My speakers are a 5.1 Pioneer set, nothing fancy like $120 at brandsmart for whole set


Thanks!