This region isn't known of a lot of people although it's definitely worth a stop. During this last summer holiday weekend we decided to walk the Route 2 of the Mullerthal Trail (about 37km). We started at Scheidgen (where we parked the car) and walked to Echternach (about 11km). We spend the night at the Camping Freibad in Echternachbrücker (Germany http://www.echternacherbrueck.de/campingplatz/fr). This is a big camping ground but just what we needed to put our tent en rest for the next day. Note also that they allow dogs :-)
View from the camping ground
The next day we started by having a nice breakfast at the "Pâtisserie Thinnes Claude" (http://www.editus.lu/ed/fr/patisserie-thinnes-claude-echternach-2939.html) where we had local bakeries. We then started our route to Berdorf, Mullerthal (with the beautiful "Schiessentümpel") en then back to Scheidgen.
Our little piece of advice is as we only hiked 11km the first day, it's really hard to make the last 26km the day after if you want to be able to stop to contemplate the rocks and nature around you. We would advise you to split the walk more or less evenly.