Do you have the CS5 version of Cineform. It was released last week for the NEO series. http://techblog.cineform.com/?p=2872
Also your video card does not support the Mercury Playback Engine. Besides that Cineform doesn ise MPE to accelerate so it doesn't matter.
I had been running Cineform Neoscene 1.6 but I had to uninstall it to run the trial of NeoHD so yes it is the latest version as of yesterday.
My understanding is that the Mercury Playback Engine is an integral part of Premiere and therefore used all the time. The setting in Premiere lets you choose Mercury Playback Engine software only or GPU accelerated. As you say my graphics is low end and not supported so my system is running with the Mercury Playback Engine in software only mode. The only supported graphics card in my price range at the moment is the 285 but I understand that it is being discontinued so I am anxiously waiting for Adobe to support some of the newer cards.
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The problem is that you are putting the entire burdern on your CPU. Even though the FL color correction is non-destructive and is handled by the Cineform codec, it still requires more from the CPU than just previewing a non color corrected timeline. The bad news from nVidia is that their cheaper Fermi video card (470 GTX) is on the verge of being discontinued. This would leave only the high end 480 GTX, a potental dual GPU Fermi (good for gaming, but not good for the MPE) and newer low end video cards based on a stripped down 480 GTX.
Many thanks for your help and the information on Nvidia cards.
Using the new feature in CS5 where you can drag a clip onto the new item icon to set up a sequence based on the clip I can achieve smooth playback at half resolution which, considering my system limitations, is fine. I did however, get a yellow line but when I rendered the clip it played immediately and did not have to render. Using the Cineform preset I had to use 1/4 resolution but I did not get a yellow line. I won't take credit for this as the suggestion came from the Cineform forum.