The resolution looks good enough for the screen size in this video.
I'd take always on screen with that resolution over the screen time of the Gear with the higher resolution any day,
Actual watch is kinda ugly though
I am on Null_23 and installed "Studio Clock" from Play Store.
This clock (it's an app, no widget or watchface) has the option to keep the screen on, which works perfectly.
1 click on the screen makes it brighter.
After a few seconds it dims the screen again.
EDIT : Ok, just tested a little more : watch will stay on untill a notification comes in. After that it will switch off.