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how do you put water into your track in traxx?

In the component box, down at the bottom-left, just add in the height you want the water at. That's all there is to it.

i did that and none showed up. i want it to be sorta like an island with water surrounding it on all side.

If you set traxx options to always show water, you'll see a blue grid appear where the water will be. What altitude is your lake bed and what level did you set the water. Also, make sure your track name isn't conflicting with other tracks.