Im having a problem getting a guide menu to appear on the site, I've made a menu, added an item, but no go. I can move it on each side, up and down, but it will never show up.
This has to do with the fact that you have the Advanced LAyout Options enabled. It doesn't look like you're doing anything that would need the Advanced Layout, and as stated on the Menu page changes to the Placement of menus have no effect on a site using Advaced LAyout Options.
If you head to Admin > Advanced Layout Options, you can click the "Revert to Original" and it will disable the Advanced Layout.
That will give you the control you're looking for,