Hello, and welcome to the forum!!
First of all....when you turn your pump off, does your gauge go back to "zero". If not, then you're gauge needs to be replaced. You want to backwash the filter when the pressure rises 8-10 psi over your "clean" pressure. When you backwash, you do so until the water starts to clear up, and then with the pump off, turn it to "rinse" to flush the rest of the junk out of the lines. After rinsing until you're getting clear water, turn pump off again, and put it back on "filter".
We can help you get the pool cleared up, but we need to know your test results taken with a drop-based kit (no strips!!). Specifically we need to know your chlorine , pH, TA, and CYA levels--and whether or not you have any metals in your fill water (water from a well, or from city supply?). Once we know those things, we can help you figure out how high your chlorine level needs to be in order to kill off the algae. Shocking to kill the algae will involve raising your chlorine to a level that is determined by your CYA level (see the "best guess chlorine chart" link in my sig for more information about that) and then holding it there by testing and adding more chlorine as needed, until the pool clears. Don't put any more algaecide in it--chlorine is much better at killing an algae outbreak than algaecide is.
You really need to be able to test your own water and not rely on pool store testing for this...what test kit are you using? If it's strips, it's simply not accurate or reliable enough to treat an algae bloom. We highly recommend the K-2006 kit (see the link for testkits in my sig), or for now, if your local WalMart has the hth 6-way, it would work. At an absolute minimum, get the OTO kit (cheap kit that uses red and yellow drops for chlorine and pH).
What was the ingredient in the "shock" you used? cal-hypo or dichlor? And do you use tabs for your normal chlorine source?
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