I use the screen transition to get my watermark video to be on top of the base video. This is weird. Notice before i apply pan and zoom effect, the base video is fine but the pig head is a little low, i want it higher in the upper right corner.
http://lh5.ggpht.com/_Iufa0NM_vIQ/TLebXjjzXFI/AAAAAAAAAik/5JcVqCEuiYQ/s512/Screenshot-17.png

so i apply the pan and zoom effect so i can get the pig head to go higher. well, it cuts off the lower and top portions of the base video. Why does it do that?
http://lh6.ggpht.com/_Iufa0NM_vIQ/TLebXqVwLzI/AAAAAAAAAio/B7lJUljp7uc/s512/Screenshot-18.png

I figured it out eventually but i had to change the percentage in the pan and zoom effect to 121% and then change the X dim so the pig head would go back so it was in the upper right corner like i want it.

Any thoughts? I didn't use to have to increase the percentage within pan and zoom effect in the previous version to 0.7.8 but now i do. I used to just be able to type in a 25 dim for the Y and it would move the pig head upward where i want it.

Strange.
Could you maybe send the overlay picture (the pig head) to me (root at ttill dot de) and name your project resolution and the resolution of the clip?

well, here's the link to the file front mp4 file. the pig head is not a photo, it's a video watermark. it spins and what not.
http://www.filefront.com/17430283/pcp_watermark_rounded5.mp4/
the resolution per mediainfo is: 720x480

when i add that on top of my normal video which is also 720x480, it's weird that the pig head is not higher up in the upper right corner. i gave up trying to fix that mp4 file so I was just using the pan & zoom effect to get it located where i want it on my gameplay footage.