Photoshop :: Pattern Is Offset?

I have an image with a gradient in it.

I select the gradient with a rectangular marquee size of 7x25 px

Edit > Define Pattern

I create a new layer

bring up a new rectangular marquee size of 7x25 px

select 'Paint Bucket Tool'

change 'Fill' to 'Pattern'

select the pattern I just created

then click inside of Marquee

The pattern is there, but it is offset vertically and repeating. The pattern looks fine in the Pattern select dropdown window..