Poses

Yes that is a pose. To have it work you need to click on "Play In World" and all will see you doing whatever that pose is supposed to do (if working). "Play locally" will allow you to see what the pose looks like (your avatar will pose) but only you will see your avatar that way. X closes the pose animation. Hitting Play again will also stop the pose.

If you have a animation hud you would put that pose in the hud (or just play it in world by itself). You would then turn on your animation overrider (that animation hud) and the pose will play without you having to push play (though you will have to turn on the A/O). The HUD lets you have a lot more than 1 pose running at a time and will cycle through without you having to worry about clicking on a different pose/animation. There are also dance HUDs that have many dances in it that cycle through.

That is why I mentioned earlier to be sure of whether you are buying a pose or an animation overrider. Sorry it can be confusing and not all vendors are clear.

Since it goes away when I X out, I minimized the screen, but when my character starts walking, she is still doing the pose which looks really stupid lol

Push the play button again and that will turn off the animation (pose) without making you have that pop up disappear completely and then you can minimize that pop up without having that pose suddenly start occurring.