Double check a couple of things:
1. You're running the latest version of the launcher. I know this is obvious, and you've already said you are, but... Just go ahead and double check.
2. You're running the launcher as an administrator. If you're not sure, right click on the icon and select 'Run as administrator' or right click, go to Properties, Compatibility, and make sure that Run as administrator is ticked at the bottom of the pop-up. (Again, I know you say you've done this, but I've made this mistake before - and for anyone else who doesn't know, they might learn how from this post
)
Otherwise, fully charge your batteries to make sure they're not causing the problems.
I don't have a 2 channel driver, so I can't say where the colour bars will be on that, I'm afraid.