if I have my watch folder enable, does letting mixo auotmatically move the files take them out of the watch folder and place into my target directly for example at /music/engine library/music

Yes exactly. If the toggle is turned on in Tools -> Move & Rename, tracks should get automatically moved during import.

By default they are actually only copied, unless you check the option to delete the originals.

So if i'm using Mixed in Key, I should run that first while keeping mixo closed? I've signed up for your service, but I'm trying to learn as much as I can for my workflow, I don't dj often, but I have a setup for weddings that's two four channel controllers, prime4+ and dj pro on ipad

and when exporting to pioneer usb, it keeps saying i have too many files in playlists, but I've gone thru and removed and went below the limit and it still says it's too many, does mixo view any playlists under a folder as one playlist because thats' the only thing i can think of that would prevent my export to usb

Actually I don't think it matters if you use Mixed In Key with MIXO open, you just need to Re-Analyse your tracks after making changes to them in Mixed In Key. You can do this by right-clicking selected tracks and choosing Re-Analyse Tracks. Then choose the options that are applicable, such as metadata or cue point changes etc. Don't select key because MIXO will overwrite any keys stored in your track tags from Mixed In Key.

Ah that means you have 1 or more playlist with over 999 tracks. I think I might change the logic to just filter those out and log them instead of blocking it. For now, just de-select any playlists with more than 999 tracks.