Thanks for the tips! I figured out what cap 1 was, found I already had it, set the twoworldsdx10 profile and gone were the flickering waves.
Got some flight time in a Hurri, downed a HE111 and followed it down. Quite cool to thunder along the roof tops, such a pretty game sometimes. I wish there would be some people waving at you when you go by but I guess they are all at the shelters.
Might there be a mod somewhere that makes it possible to hear what comes over the radio? All I hear is "Commander, glob mooomba one bluuuuuuuurrrb schwone". I searched the interwebs but couldn't find anything. The audio settings for radio does not seem to affect the ai radio traffic .. I suspect it's for in game comms.