Mercury 7.5 air from prop, no to little telltale

[Scarecrowfishing]

I recently got a 14ft aluminum boat with a 7.5 murcury, the impeller is spraying water fine when I turn the shaft counter clock (from the top view) when I turn it clockwise only bubbles come up from the prop area (intake?).
I've checked the telltale hole and spayed air through the line going into the motor, everything seems clear.
While the motor is running I only get exhaust through the tell tale along with a few small dribbles of water spraying out, ive seen it spraying like I assume it would for only a short moment after running it about two minutes (I won't run it more than 3 in fear of overheating).
Also while running air bubbles come from the prop area. (Not sure if this is normal)
Please help if anyone might have an idea what's going on and thank you ahead of time.

 

[racerone]

I am puzzled here.-------The motor turns clockwise.---Why would you turn the motor counterclockwise during this testing.---Does this motor have a thermostat ?------There is a plastic washer at the very top of the water tube.----It melts and blocks water flow to the motor.