Just use the in-game options menu. You could also edit the the oblivion.ini, but don't mess with that unless you know what your doing.
I don't believe you can get the same level of editing. For instance ultra-low looks like morrowind, and ultra-high looks pretty. However I could be wrong, I'll fiddle with them some more though.
Here's what it looks like all maxed out through the in-game menu
http://screenshot.xfire.com/s/112182011-4.jpg
I swear to you ultra-high is prettier and that saddens me