I've got a theory going.
If you look into the projector lens itself with an flashlight, you should see a spring which is connected to the solenoid to drop the shield.
Is yours shiny metal, or is it painted black?
I'm thinking that the reflections above the cutoff might be from that since mine is shiny.
Just a thought...
DEI 2-way Alarm & Start / DDM Ballasts + CAP 6000k 55w HIDs in Eagle Eyes Projectors / 6000k 55w HID Fogs / All INT+EXT LEDs+7W LED Reverse / K&N Air Filter / Kumho Ecsta 4X Tires / 35%/20% Tint / Black Grille / Maxxsonics MX-1 + 2500W Stereo