Have you tried the Pan & Zoom tool?
There are limits, of course, to how much you can zoom in on a video, by the way. So if your tutorial is the resolution of your computer monitor and you zoom on it, you may just see blurry pixels. Just so you know.
An alternative is recording your tutorial with Camtasia Studio, the software I use to create my tutorials.
It includes a tool for zooming into to areas of your monitor right in the recording software.
Thanks Steve. A small amount of blurriness would be acceptable. I'm not planning on zooming in all the way, just enough to highlight where the mouse is.
I did try using the Pan & Zoom tool, but when using it with a video clip I was limited to just two frames (which makes following the mouse cursor around impossible).
There's an Add Frame button in the upper left of the Pan & Zoom workspace, so you can add as many keyframes as you want.
Or you can open the Properties panel and manually keyframe, as I show you in my book and in my Basic Keyframing article.
Sadly the Add Frame button doesn't let me add more than two frames (after the 2nd it just toggles back to the 1st). I'll look into manually adding keyframes.
I personally find that Keyframing the Fixed Effects, Motion>Position (Pan) and Motion>Scale (Zoom) to be the most useful techniques. There are no limitations, beyond the quality for a major Zoom, when using those.
The Fixed Effects (Motion, Opacity, Rotation, Volume, if there is Audio, etc.) are accessed by Selecting the Video Clip in the Timeline, and then clicking on Edit Effects. I like doing the Keyframing with the little "timeline" in the Effects Control Panel visible.
This method does require a bit more hand-work, but it provides such great power, that I do not use any other techniques.
Hope that helps and good luck with the tutorial.
The technique Bill describes is the same one in the article I linked you to above, Dan. Give it a try. For many of us, it's the preferred way to create motion paths.