When you changed the path of the taxonomy term as you state in your comment on George's answer, I assume you mean that you defined an alias using the Pathauto module. The problem with this is that Drupal reads the alias and converts it to taxonomy/term/% before it acts upon the URL. This means that your view is never called and the the default taxonomy view is used to display the content.
There are two ways to get to your view. The first is to use the default taxonomy view that George mentioned. The second is to remove the taxonomy alias in path auto so that no conversion is made to the path. Drupal will then direct its response to your View with that path name.
Also, it is not necessary to convert the path argument to to a term number for use in the contextual filter. You can also use the name. Set the configuration of the contextual filter to content:term id. Under the settings for "When the term is in the URL..." select the validation option and pick the validator "taxonomy term" and the vocabulary that applies. Then pick "term name converted to term ID" from the filter drop down box. You must also check "transform spaces..." if your URL can have multiple words for the term so that dashes and spaces are interpreted correctly together.