Abstract: In a method of encoding a sequence of images of a digital motion video signal, information regarding future images in the image sequence is obtained by making an initial analysis of the image data before compression. The initial analysis provides information to the compression system regarding variations in complexity between images. This information is used to determine the setting of a compression controller. From this setting, other compression system thresholds and quantizers are scaled. In addition, the initial analysis provides qualitative information regarding events such as scene changes, brief periods of rapid motion, dissolves, wipes, and the appearance of a single anomalous image.