Of the limited choices which looks best?

[d_Guy]

Thanks for the feedback, gentlemen.

Yeah, I think the sharp transitions are a little jarring also - but I also sort of like them - it makes it easier for me to see where the grid boxes are.

Draping the whole battle cloth over is very effective, particularly if you go to the additional trouble of cutting a few custom shapes for the hills.
Paul, et. al. get very believable contour lines (e.g. Guilford CH) doing this. Leman does something very similar (various 19th century battles) using a short haired fleece which is also randomly mottled. The games I've seen Simon Miller and Mollinary set up use a gridded battlecloth (for FK&P Demos ) and also use the hill forms under with a no-skid gripper sheet between the forms and the gridded sheet. 

I ended up giving up on this approach because I couldn't easily make tweaks (sometimes major tweaks) to the topology. I design backwards. I fiddle with the board until I like it THEN draw the map. 

I actually like KT's battle terrain which is built up with layer upon layer of ovals which gives a great effect. I'm sort of doing something like that but with much harder edges - some of my squares are draped but I don't like the effect as well as the "hard" edges.

Alternately most folks here and elsewhere use the hill forms (both terraced and sloped) placed directly on the battle cloth. Bunches of examples but currently bigjackmac's and Petercoomans come to mind.

Of course there is the whole hex system approach (Norm for one) which has a charm all of its own and still may be in my future. 

I pretty much like seeing everthing as long as it is clear the person or group has a passion for what they are doing.
Incidently, the suggestions/critiques  I get on this forum are always valuable, never annoying, and pretty much the only chance I get to interact in the hobby. I am always happy when anyone takes time to say anything.

Like most of us I adopt some (or many) suggestions and ignore others. As has been expressed in comments in this thread, this forum and elsewhere - in the end if it pleases you - well - it pleases you