Take a look at Page 24 of the manual for how to bind a RX and TX.
Then look at the bottom of the page for info about setting failsafe, which is what the button you pressed does.
Handy thing the manual. Lots of good info in it
I have been using the Energizer Lithium cells, the silver ones. They seem to last forever. I just changed over to the new Sanyo Eneloop NiMH cells. Charge like normal NiMH cells but hold up to 85% of their charge for up to a year.