There are 2 main types of compression: Single-frame, and Delta-Frame compression. For low CPU, super-smooth playback, single-frame
compression works best since Delta-Frame compression requires decoding of previous frames to be able to display the current frame.
Smoothest: Photo JPEG. Single-Frame compression type. Adjust the “quality” based on your processor and harddrive speed.
I usually set it between Low and Medium when playing off a Laptop. Side effect is larger file-size movies.
Smooth: H264 (or x264) with every frame key-framed. This will turn this compression method into Single-frame compression as well. When converting using
Quicktime pro, set keyframes to “all”. Set to at least 6000kbit for good looking 720p movies.
High CPU: H264 (or x264) with a keyframe every 10-30 frames. This will playback smooth going forward, but reverse, Fast forward and scrubbing will be very
CPU intensive. Benefit is very small movie size, especially when using x264. Even at 2000kbit they still look acceptable when using x264 encoder.