[SOLVED] Recording MW2 in Fraps and then uploading to youtube in HD

Hey guys, i need some help here...
I recorded a match with fraps and it was like 5 gigs of raw video. I then compressed it using Sony Vegas Pro 9, but the image quality was very very bad... How can i fix this? It didnt look HD at all... I use 720p quality when recording and the same when compressing the video.

Use movie maker, sony vegas sucks.

Um.. I payed like 500$ for it so it better not suck lol xD

edit: how do i get widescreen 720p in movie maker? like that there isnt any black around the movie in youtube..