That is correct. Casting on a mobile device is similar to using extended desktops on your PC. It's the only way to have 2 actual screens rendered at different resolutions. When the video is cast, the video itself will be rendered at the video's native resolution. And of course since most (if not all) videos these days are 16:9, it will match your TV.
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The Developer/Owner of MX Player is bleu8888
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I do not answer MX Player questions in PM. Post a thread in the MX Player sub-forum if you need support.