Design for iPhone

I'm a bit confused with how to build a game for iPhone

I understand there is an option for the use retina display in project properties, but what i'm struggling with is how to set it up

Do i start with a project which has a size of 960x640 and use the full size images, or do i create an app at 480x320 and reduce the size of every image by half or something else?

At the minute i am using graphics at there full size on a 480x320 project whcih im sure is wrong

On a seperate note these images appear very badly pixelated when on iphone 3gs via cocoonjs launcher

Hi theames

The best way is to create the project directly with 960x640 canvas size. CocoonJS automatically scales the canvas to the display size, resulting in a 1 scale on iPhone 4/4S and 0.5 scale on iPhone 3GS.

If you need detailed help, please contact us: ludei.com/about

Just what i was looking for cheers