The shown menu is for the trigger settings. I don't know how this scope works, but could it be that the channel it self is still in AC coupling?
Oh, good catch. I dipped into the TDS 210 manual and it says that I need to press the "menu" button under the channel. When I did that, it was on DC coupling the entire time.
I switched it to AC coupling, but... it's somehow still the same? I tried this a couple of times. However, as you can probably tell, I'm not too familiar with the oscilloscope either.
EDIT:
Actually I had an idea. So far I've been using probes that were two alligator clips. I pulled out the "needle-y" one and used that one instead. What I found was that I got a weird DC signal if I connected the probe to the XOUT and ground to ground. But if I reversed it--connecting ground to XOUT and the probe to ground, I get this waveform:
And here's the same one with AC coupling:
Probe pic: