I have moved this thread mate (not to state the obvious or anything ) as I feel you'll get more of a response here
I'd recommend watermarking personally as long as it doesn't get in the way too much & is well done - interpolation techniques mean it is still possible to get prints from low res images - making the images too low quality will affect the viewing more IMO.
copyright mark AND low res...
at the end of the day images on the web are fair game for any pikey out there who's really determined, so the best way to prevent their messing around is reduce IQ to a reasonably low level so any further reproductions are essentially pointless, as well as interpolations, yet being good enough to view the image as it should be. I go for around 600pixels on the long side and 'save for web' option in photoshop; helps compress it right down
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