Or it could be done this way: most people would use their fingers as the mouse pointer, sitting one finger on the screen and move around, so if the cursor is put just above where the finger we sit on the screen, the text won't be blocked anymore. But of course there is a little trade-off for this to...

use iphone browser for usb file tranfer (much faster!)
http://code.google.com/p/iphonebrowser/downloads/list

It could be great if the cursor is placed just above where I tap on the screen, since very often the item descriptions are blocked by my finger so I can't really see what I'm tapping on or if I've actually chosen an item.

The performance of Sword I is greatly improved in the latest 11.18 version. However, I can't do save game since the cursor seems off pixel that I could hardly get the cursor on the save button after inputting the save name. Even when I managed to move the cursor on the save button, it didn't reponse...