Hey Audioguru,
Ah, well I will have to verify that when I get home from work, thanks for catching that Audioguru.
I didn't want to spend too much on the circuit that will only control outdoor Christmas lights, and some of the multi-function ones use the 4 diode full wave rectifier so I did not think I needed a transformer.
Anyway I will check the placement of the diodes and see if that doesn't correct this problem. I'll keep you posted and thanks again for your help.
Ted