I'm having the same problem and I've done everything to try to fix it. I've even formatted my OS and re-installed it. Tried both beta, archived, and current drivers, and everything else.
My monitor works perfectly with the on-board crap video card, but sadly it doesnt want to work with my 9800 GTX. On the other hand, my 9800 GTX works perfectly with my other monitor, so I have no idea what is causing the problem since they both work it seems.
So what I did was instead of using a HDMI cable with a HDMI->DVI adapter to my video card, I am using a VGA->DVI adapter. I am now able to run my 1920x1080 fine, was just playing battlefield bad company 2, and no more red lines. I would suggest trying a new cable, or a different interface altogether if your card allows it.