I'm posting this as a new topic not to confuse it with my previous question.
Is it possible to proxy edit on PE9 and how does this happen?
Somewhere I read that PE7 didn't have a proxy editing option (yet). Somewhere else I read that in Edius program you can make a proxy out of HD material simply by choosing "Standard" as your editing setting. Would this function the same way in PE9 or not?
Here is an ARTICLE on one method, that has worked for many.
Some NLE (Non Linear Editor) programs, like FCP, use proxy files/intermediate files to edit many media types.
Hope that this helps,