I just fixed the development version (1.4.0.4) to fix the post format link issue. http://downloads.wordpress.org/plugin/polylang.zip
So for example, if polylang is deactivated I read "Immagini" (I'm Italian) on top of my images ephemera widget, and when I activate polylang I read "Images", regardless of current language chosen.
There is currently an incompatibility between the Twenty Fourteen Ephemera widget and the "The language is set from content" option. So I suggest that you choose the option "The language is set from the directory name in pretty permalinks"
- when I select my secondary language (English on my blog), featured content grid isn't displayed.
You must translated the featured tag and use the translated "featured tag" for your secondary language.
- when I choose my primary language (Italian), the language chooser isn't displayed in the top menu (right now, look for it in the footer).
Did you add the language switcher in your Italian menu?