@Ridley
The type of footage is AVI, and I’m rendering it to Quick Time(animation). I tried rendering to other formats but the issue still appears.
@Todd
Thanks for the fast reply,
I’m editing a World of Warcraft clip, here is a shot:
https://www.youtube.com/watch?v=iqfWxmMkQ40
You can see how the picture screws up in the top left corner and in the top right corner.
I tried adding Time Warp but when I add this effect, the preview becomes laggy and the frames have to be rendered first before I can preview the clip, and the rendering is slow indeed.