
Open your video (Click File then Open or you can just drag and drop your video file).

Click on Video and select Filters.

In the Filters Window, select Add.

Scroll down until you see logo, select it and click OK.

In the new filter: logo window, go to Logo Image and enter the location of your watermark image, I use a .tga file because it has transparency, you can make them in Photoshop. Other watermark images would work fine. Select the three boxes so they all have ticks in them. Copy and paste the location of you video file into the Alpha Image box. Select Show Preview to see where your watermark is and how it currently looks. Drag the opacity bar so that it is a little less obvious, I use 30%. Select where you want the image to appear using the Justification buttons and the X Y offset. Click OK when you've got it positioned how you want.

On the next screen, click OK again.

If you click on View then select Output video pane you can see the finnished product. Click Play or drag the scroller across to see how it looks.

Click File, then Save As .avi to render and save your video.

All I do then is open Windows Movie Maker and edit out the parts I don't want. If you want to see a finished copy of this, go to the Video section of this site, or go to the sites Youtube account.
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