Video and hover effects

how would you advance to the next slide to make it look like it highlighted? I see the advance with a click but I need to advance when the mouse enters the hot spot

You're correct, Captivate is all about screenshots.

So first, when you record a process, make liberal use of the 'PrintScreen' key on your keyboard, which will force an additional screenshot to be recorded each time it's pressed. That way, you're sure to have captures of any significant screen/change.

When editing, you should be able to do what you need either via the timeline or, if not, just insert another screenshot.

So for example, the icon highlighting issue:

If CP did not record the icon highlighting, you can go back to the application and just take a screenshot of that highlight (i.e. Windows PrintScreen, or any other capture tool) then paste that into a new slide on the CP 'filmstrip'.

Or you can take that screenshot and just crop the highlighted icon, then place that image overtop the icon on the timeline, after the cursor moves to the icon (extend the timeline).

OR you could copy the slide where the cursor moves overtop the icon, edit that in Photoshop, highlight it however you prefer (glow, color changes, etc), save, and the slide should (with caveats) update on that edited slide in Captivate.

I really like the screenshot method Captivate uses. It makes it really easy to add a slide, remove a slide, or edit a slide quickly...

(now, to an animated progress bar...that's possible if you record in 'video mode'...but I'm not sure that's worth it. just show the progress bar starting, pause a second or two, then the next slide shows the progress bar completed)