Is it possible to fix winXP so I can use DELETE on my keyboard so it deletes the files from my computer like "shift delete"?

Yes. Right-click on the recycle bin and click on properties. Then look at the pic below:

Yeah, as gamehead200 states, it's pretty easy, one word of advice though--I used to use this setting, till one day an accidental keystroke deleted some very important files. Sure, there is still a confirmation box, but of course I had hit "Enter" too fast in my keystroking, and didn't get a chance to stop the process.

Shift+delete isn't too troublesome, either. Just my opinion.