If you wanna' play leads, then I'd say to start learning the Major, and minor scales. All scales are built off of them. The minor scale uses the same notes as a Major, but starts on a different note.
Example:
C Major: C-D-E-F-G-A-B-C
a minor: A-B-C-D-E-F-G-A
Same notes, but starting on different ones.
Learn them up and down, with alternating picking. Sequences are cool to mix it up a bit, and make it interesting.
Example:
D-C-E-D-F-E-G-F-A-G-B-A-C-B-D-C ect...
As far as settings, a 4x12 sound is the tops. Shred is the easiest to play with the most gain, 'cuz you don't have to press hard on the fretboard. But the more gain you use, the less distint, and washy your sound gets. So find the comprimise that works best for you. A low action will work in the beginnig to learn your scales. But to low, and your sound will be washy as well from all of the fret buzz.
As far as amp types, there's many different sounds that are good, so the journey in tone is finding the one that works for you. And were talking about tube amps here! For the most part, most players in rock use either a 6L6, or an EL 34 power tube in their amps. Try some amps with both, and figure out which one you like better. Both kinds have their own feel, and sound character. I use a 6L6 power tube.
This is what I use.
And with effects, just find your own voice with them. I'd start with delay. Find a repeat speed that works for you. Some people like a fast repeat, and some like it slower. Don't use to much of any effect, because you want it to compliment your playing, and not dominate it.
That will be $50... :D
