Capturing PS2 Footage Into VirtualDub Help!

[CosmicOutburst]

I'm in need of some advice in relation to my previous posts. I've got the equipment to capture video game footage from my PS2 into my PC. I'm using a device called ADS Video Xpress, this connects to the PC via USB. I'm recording the gameplay into VirtualDub, at the moment I'm caprturing the footage and compressing it using the Xvid codec during capture, I'm compressing the video at the highest possible bitrate so that I have enough space on my PC, because some of these video files are going to be over 30 mins. I leave the audio uncompressed. Once I have the footage, I load the AVI into VirtualDub for editing. I further compress the video with the Xvid codec, this time I usually leave the bitrate at the default setting. I also add the sharpness filter so that I canb enhance the quality of the image. I then add audio compression (MP3 at 40Hz). When I upload the footage to YouTube it looks alright. But, I want to know if this is the best way to go about doing it? Am I using the right codecs? What should I do if I want to edit the video in Windows Movie Maker? I don't have a lot of experience with this, so if someone could help me out, I'd really appreciate it. Thanks!

[Baldrick]

If you have enough HDD space capture to a lossless codec like Lagarith instead of xvid. Import the lagarith avi directly in windows movie maker, edit and output to a wmv that you can upload to youtube.