The ones that come with phones seem a little better.. This still seems better than the hacked version I used, but if I miss the wrong letter just barely it guesses my word wrong more than the Droid 3 version did.
I see no issues with this version of Swype myself. And I come from a DX, which had stock Swype. It might just be because of the larger screen, but I seem to have an easier time actually swyping. I do have to agree though, the orangish yellow trace is pretty ugly. The one hacked version I had on my first Nexus was nice and blue, wonder why they stopped with the blue! Especially for ICS.