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This usually results from a mismatch between your source footage and your sequence settings.
Make sure they match exactly.
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I agree with Jim.
What are the Frame Sizes of your Sequence and your source files? Those need to match, as does the PAR, if applicable.
If you have questions about that match-up, you can Import your source files into the Project, and then drag one to the New icon at the bottom of the Project Panel, and it will create a New Sequence that WILL match 100%. Neat new feature in CS5.
Thanks to you both. I had mismatched my file parameters and sequence settings. I probably created the problem when I filled out the project dialogue wrong.
I went back to the New Project dialogue and found that there isn't a preset for the file format I recorded my video in.
I'm using a demo version of Premiere CS5 and a Canon 7D. I recorded the video at 1080P and 29.97 frames per second.
Do you know how to create the project in the right video format right from the start?
That explains my problems with settings when I create a project. I use Premiere CS3 at work, I have downloaded CS5 to my home computer. Its supported image files list seemed limited. Thanks again for your help.