Hey there BSmith0414,
Thank you for visiting the Apple Support Communities. It’s my understanding that you have a concern about the display on your newly gifted Apple Watch Series 3. I'd like to help you with this, and also wish you a Happy Belated Birthday!
To get started with troubleshooting, I'd like to isolate the issue first. You mentioned you use a screen protector and protective case, and also use a Photo Album watch face. I would like to have you remove the screen protector, and case from your watch to test for the same display concern. I would also like you to set up a different watch face, one that does not have any movement, to also test to see if the issue remains.
If the same issue continues after taking these steps, let's make sure your watchOS is fully updated: Update your Apple Watch - Apple Support.
After monitoring your display, if the concern continues, I would then recommend taking the steps found in this support article: Get help with your Apple Watch - Apple Support. Although this is not directed toward your specific concern, it includes great steps that may help solve the issue.
If you've completed all of the above steps, and still notice the display appearing discolored, I'd like to have you reach out for continued support through this link: Apple - Support - Product Selection.
Let me know if you need any further direction to solve this concern.
Take care!
