I personally let my videocard driver scale the output of the game to 1920x1080. So I don't need the widescreen mod. Also, the game expects a resolution of 1024x768 to place all the screen content. So with a widescreen resolution some parts of the screen would not be used, or it would get stretched out of proportion. I'll let other with more experience respond to this.
As for the Kiel Kanal route. This is likely not caused by the resolution. It is probably because you have an improperly placed waypoint (or none at all). The game just adds the waypoints to what is already there. So first place your own waypoint on the spot, and let the game add to it.
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