i don' t think it makes much of a difference on which way the serving is put on. the cable should be twisted, but if the cable is already at the length its supposed to be, twisting it up would just raise the draw weight of the bow.

you definetly should step up on strings and cables. why don' t you save some money though in the mean time and go with vaportrail strings and cables. they are about 15-20 dollars cheaper than winners choice and work just as well.
the peep sight won' t move and you will gain 6-8 fps off the stock string. i have used them for a while now and have had no problems whatsoever. go to www.vaportrailarchery.com this is their homepage, and is the only site that i' ve found that shows their strings and cables