I know my room isnt the greatest, but somehow i get the sence that the room isnt the main problem im having, sure it could use alot of improvement but the bad sound seems to be coming directly from the speakers.
Your perception notwithstanding, speaker-room interaction--along with software--really is the biggest factor in sound. (And there's no way your brain can really sort out the sound coming from different directions.)
Make sure there's a thick carpet on the floor, break up the primary reflection points on the side walls (open bookcases work well), hang a tapestry behind you. I can't tell you which of these will and will not work, but you should try them all--and none of them will cost you much.
Also, I know this is anathema to many audiophiles, but play around with your tone controls a bit. Not the purist approach, I know, but if it sounds right it is right.