I was just curious as to the best way to go about using Alpha channels on models.

I've tried fooling around with it but I always seem to get undesired results.

I have this model;

All I want to do is to make the black edges on the pin on her scarf transparent so I don't have to model the edges.

So I create an Alpha channel and fill the parts I want to see with white and leave the rest black, but when I import it into WED and compile I get this;



The bit I really wanted transparent around the edges is perfect, but then the rest of the model goes into some kind of weird transparency thing. It's like you can't see the faces closest to you if there are some behind it or something.



I've tried it with other models too and I get the same problem with them too. So I suppose what I really want to know is the cause of the problem and if there is anything I can do to fix it. Also, which particular format (i.e. PCX, TGA, BMP, etc.) is best for using Alpha channels with Gamestudio?