Hi there when I launch the game, my mouse courser remains in center and won't go away. On top of that the game won't run at native resolution of 2560 by 12440.

I know this game is old but if there is a known solution for either the mouse or resolution please let me know.

Assuming you are talking about Blood 1, did you press "U" to activate mouse look?

Also, normal Blood relies on software rendering. You'd have to increase the video ram in DOSBox to get anywhere near that resolution, but it gets buggy and will eat up your CPU cycles like candy. You might be able to get the 3DFx version up that high if you try it with nGlide and Ykhwong's build of DOSBox. You could read more about it on the nGlide website: http://www.zeus-software.com/downloads/nglide

No I'm talking about Blood 2 sorry about that I should've made that more clear.

Do you have multiple displays and/or outdated graphics card drivers? This has caused a mouse control issue on my machine which might be similar to yours. After updating the graphics card drivers and playing with the display settings of Windows 7 (switching primary display) I have finally got mouse control when configuring Blood to use one particular of both displays.

Edit: Graphics modes other than 640 x 480 do not work on my machine neither, so the above might only help with your mouse problem, not with the resolution.