What is your Sequence Setting?
Show me a screenshot of that clip in your Timeline
and include the Program Monitor.
Are you planning to add this clip to an existing Sequence,
or do you plan to use it by itself in its own Sequence?
What do you plan for your exported Sequence when you're done?
Since you are going to have to scale this clip, I would suggest
creating a new 1280x720 24fps Sequence, add the clip 'IMG_0017.MOV,
use the Motion Effects to Rotate, Scale and Position the clip to fit.
Then export using the YouTube 720 preset (if that's your destination).