Arrows, bolts and spells go where your crosshair is. With no monster under the crosshair, a shot now flies into the spot the crosshair rests on. Aim at the ground and it lands there, instead of sailing over it at chest height.
Arrows and bolts land. A shot aimed at the ground stops where it hits the ground rather than flying on underneath it.
Added
Your ammo shows beside the crosshair. With a bow or crossbow, the count of the ammunition you have equipped sits at the crosshair's bottom right, with its icon. It turns red when you have none.
