It all looks normal to me. This is what I see with my batches:
~Primary fermentation kicks off 24-48 hours after pitching the yeast. (If it has not started, check temperature. If temp is good for the yeast you are using, it is likely dead and pitch with new yeast.)
~This stage will ramp up and then settle down. I usually expect this to take 1 week for all the bubbles to fall back into the batch. This is also the risk point of the foam clogging your bung. After the first week, you should be in the clear.
~If you use a secondary vessel, you transfer it at this time to condition for a while (2-4 weeks depending up type of beer and level of patience).
~All in all, you should be waiting 2 weeks at a bare minimum before bottling, and I would recommend longer.
If you bottle too soon, the beer will not be very alcoholic since the yeast would not have time to break down all of the sugars. It will also taste different since you have more sugars and yeast bodies floating around. (It will still be drinkable.)
So the sludge at the bottom: everything you added in the wort (hops, grain residue, some complex sugars, etc.) settles to the bottom. The layer of white is likely the dead (and some active) yeast bodies, but don't worry they reproduce in your beer so you won't run out. When you transfer/bottle, make sure you don't put that in the beer you drink.
Hope this helps.