"The teacher from Oulu is watching a movie."
Translation:Oululainen opettaja katselee elokuvaa.
Again Oululainen does not actually translate as "from Oulu" it is inferred but it should also allow for the closer translation of Opettaja Oulusta...
To put it simply: katselee = watches/views, katsoo = looks.
katsoa (to look) is the physical action of looking at something, and katsella (to watch) is to view or watch something. However, these are often used interchangeably in Finnish, at least by natives (including myself). I would say, in my dialect, "katson elokuvaa" or "mä katon/meikä kattoo elokuvaa" instead of "katselen elokuvaa", which translates to "I am looking at a movie", instead of "I am watching a movie", respectively. Strictly speaking from a purely grammatical perspective it's not quite correct. However, every Finn you would tell this would understand you and would not think it's weird. In fact, "katsella" would be a bit weirder to hear specifically in Oulu than "katsoa".
An analogous example would be lukea vs. lueskella. "minä luen" means "I read" and "minä lueskelen" is "I am reading (something)". The former means that you physically read something, like a sentence or word or equivalent, and the latter would be the case of relaxing and reading a book or a thesis, for example. But again, these two are used completely interchangeably by natives. Also, some people might interpret "lueskella" as skimming through, instead of actually reading, although the correct choice of words to use here are "katsella (läpi)" or "selata (läpi)".
(I am from Oulu, by the way.)