Is my Computer overheating?

You won't need watercooling, its a waste of money imo. 60c is normal for CPU under load temperatures. As for the graphics card, temperatures under load depends on how new it is. Older graphics cards were terrible at cooling, but the newer ones are decent. With the exception of 560's and 6970's, which can get quite hot. Regardless, 70c is fine. Computer chips will melt at 160-200c. Their designed to shut off at 110c, to prevent that happening. Instead of buying a water cooling system, just grab a new case for half the price. Do your research, figure out which ones have good airflow, features etc.