FCP 5.0.4 Transitions

I was wondering if anyone else is having this problem. I just upgraded to FCP 5 from 4.5 HD and when i add a transition to two clips the canvas window won't preview the transition. I have enough of a handle for the 1 sec transition but it won't show the transition and its just a simple cross disolve. If i go frame by frame i can see the transition but in FCP 4.5 HD i could preview the transition in real time.

Any suggestions?
Thanks! -Seth

Is your Canvas set to Fit to Window or smaller?

What are your render settings?

Yes its set fit to window (52%).

I currently have it to unlimited render on 'cause safe render was dropping frames.

Sequence Settings: Frame Rate: 100% of sequence editing timebase
Resolution: 100% of sequence frame size

Hi Seth, go to: AUDIO/VIDEO Settings, click on A/V Devices, then find the "Mirror on Desktop". You'll probably find it's off. Check it ON and see what happens..

Cheers,

Marcus.

No that was already checked.

Here is all my Audio/Video settings:

Summary:
Sequence Preset: DV NTSC 48kHz
Capture Preset: DV NTSC 48kHz
Device Control: Firewire NTSC
Video Playback: DC30+NTSC-DVD (720X480)
Audio Playback: Default

A/V Devices:
Playback Output
Video: DC30+NTSC-DVD (720X480)
Mirror on desktop: CHECKED
Audio: Default
(then nothing else is checked on this screen)

Here is my Render Control in User Preferences:

Render & Playback
Filters: CHECKED
Frame Blending for Speed: CHECKED
Motion Blur: CHECKED

Render
Frame Rate: 100% of Sequence Editing Timebase
Resolution: 100% of Sequence Frame Size

Here is my Playback Control in System Settings:

Playback
RT: Unlimited / Play base layer only: UNCHECKED
Video Quality: Medium / Beep when playing unrendered audio: CHECKED
Frame Rate: Dynamic / Scrub High Quality: CHECKED
Pulldown Pattern: 2:2:2:4 / Multiclip Playback: CHECKED
Gamma Correction: Accurate
Frame Offset: 4
Record:
Full Quality