I highly recommend using the "display links in frame?" feature for mylinks if you're syndicating links through rss and javascript.

It will also syndicate the News section of your site so you can syndicate everything all from one module (allthough the backend.php still works just for news.)

I've also updated the RSS and JS buttons to updated versions so they now look proper.

You can see examples of this fixed module in action here:

Instruction page and example JS feed:
http://www.beated.com/modules/lykos_syndication/

RSS feed in action (bottom right of page):
http://www.rantmorgan.com/modules/news/

Full RSS news reader:
http://www.rantmorgan.com/modules/xoopsheadline/

You can get the fixed module here:
http://lunarhouse.com/unity/modules/mydownloads/singlefile.php?cid=3&lid=3
or from the xoops.org download section.