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Certainly has a feel of quality about it, from the mechanics to the visuals and audio.

There are some things I can't figure out though. Most notably, I'm not sure what "Overwatch" does.

One time, when I ordered a unit to shoot somebody to the right, the unit instead shot directly forward/up (90 degrees off). o_o

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From what I undertand:
If you put your player into "Overwatch"-mode, it'll show tiles in a radius in red.
If an enemy now enters this section (while you are still in Overwatch-mode) your player will automatically attack them during the enemies turn.