1366x768 will look fine for gaming with the AA ramped up.
The real problem is that for desktop usage it's a bit too low, on a screen of that size I'd say you really need 1920x1200 as a bare minimum. I'd definitely go for a 26" over 32".
As a side issue I think this thread just serves to illustrate some of the problems with TFT technology in terms of native resolutions causing a bit of hassle. A 22" CRT for example is great for high resolution desktop work, yet for gaming you can drop the resolution down if you need more performance, and still have a 'perfect' image.
The real problem is that for desktop usage it's a bit too low, on a screen of that size I'd say you really need 1920x1200 as a bare minimum. I'd definitely go for a 26" over 32".
As a side issue I think this thread just serves to illustrate some of the problems with TFT technology in terms of native resolutions causing a bit of hassle. A 22" CRT for example is great for high resolution desktop work, yet for gaming you can drop the resolution down if you need more performance, and still have a 'perfect' image.