I am not sure if I understand you correctly, do you see all colors below 700m?
If you don't see any colors (only horizontal lines for woods) the typ-file is not registered in the registry.
If you do see colors below 700m it's not a typ-problem but something else.
- Did you set map-detail to 'High' in Mapsource?
- Did you try to hit Ctr + G on the keyboard once or twice?
Your Mapsource version is very old, for modern NT maps with DEM it's better to use v6.16.3