Hey there, thanks a lot for playing and I'm glad you really liked the game! That's a lot of good feedback too. Most of it I was in the midst of implementing and hadn't been able to upload a new build until now.
Points #1 - 4, and 7 should be taken care of now.
In regards to point #1, if you don't have a gamepad connected the game defaults to keyboard and mouse, and registers the first selectable button available, so that's why the first option stays red because you can select through the available options with WASD or arrow keys. If you click anywhere with the mouse, you'll see that the option in red loses focus and will highlight when you go over it.
For points #5 and #6, these are planned for a future iteration. I plan on continuing to make improvements on the game and grow the gameplay opportunities in it, as well as gameplay length. Stay tuned for this!
Meanwhile, try giving the game another spin with this new build!