Im in the middle of making a movie of Mass effect for my dad. He is into that sci fi stuff. Im recording the whole game in pieces. Ive been using fraps but it produces uncompressed avi. Im trying to get the file to a more reasonable size for upload. Ive been trying to get it down a wmv the file size is perfect but the quality sucks. I understand that will happen when your doing that. Now my question is there a better program that does the same thing but transcodes as it goes so in theory I shouldnt lose any quality when making these movies?

For more insight the pieces im making are setup like a real movie where at certain points i stop the recording as in like dvd chapters.