Of course you are right that the lack of context always makes it more difficult. I generally favor translating using the cognate if it makes sense and two forms was accepted. But ways would be consistently translated as formas and since that is a little bit strange sounding for the native English speaker who is not yet thinking in Spanish I think it is important to teach.
That is a different meaning of "way". Forma is limited to the uses of "way" that mean "in that manner", as in "do it that way".
Even then it would be more usual to say Quiero ir así
If you want to go a certain route, that would be commonly Quiero ir por ese camino, or Quiero ir a esa dirección
It all boils down to what has dos formas, but certainly that would be a valid translation for many circumstances. I would somewhat disagree that forms is more of a "literal" translation, however. Certainly forms and formas are cognates. But it is not valid to assume that the cognate is a more "literal" translation since words often diverge in meanings or take on different meanings in the two languages. Way can be the best translation for some of the uses of formas using some of the denotations of the Spanish word.
Generally kind and type are translated as tipo and clase and form, shape and way are translated as forma. But the difference among those words and others like manera and moda have more to do the subject and circumstances than the literal meaning of the word. So yes, with no context your translation might well be valid, but it might often not be accepted.