Here's what I want to do: draw a straight line for Pan from left to right over one measure.  (I want to do this repeatedly.)  Here is what I am running into.
 
•With Automation | Pan selected in the track, and the Pencil tool selected, I cannot draw a point or a straight line.  I can hold the mouse button down and draw a series of nodes, but not a straight line.  I tried botht eh freehand and line tools.
 
•  The online manual says to click where I want the start of the line, release, and click again where I want the end of the line.  This does not work.  (See above.)
 
Thoughts on this?  There are times I would like to do this with volume as well.
 
Thanks.

enable the envelope, create the nodes where you want them then drag the nodes to exactly where you want them. It will create the straight line that way.
 
If you want other options for the envelope line, right click on the line and you have the choice of jump, fast curve and slow curve.
 
Sometimes you want to use the jump before you create the line you want. create the jump between two nodes and adjust it. Move it again and it creates to more nodes at the same place as the ones you created. You can delete one and create a line that way. You just have to experiment with them. There are things about them I learn as I go as well.
 
Hopefully one day we will be able to drag the curve to create custom curves.

Guitarpima, Many thanks, but what do you mean by "enable the envelope?"  I think this is where the problem lies.  When I click with the pencil it does not create a node.  If LINE mode, I can't get the pencil to do anything.  In freehand mode, I can drag the pencil to get a series of nodes, but they are not in a straight line.
 
In the track view, I have used the drop down to select Automation | Pan instead of clips.  Is there something else I need to do?
 
Thanks.

Just make a selection. Then position your mouse near the top of the clip so it looks like a horizontal capital I with up/down arrows. Then click/drag up/down to automatically create a line segment for the selection. See this video for a demo...
http://www.digifreq.com/digifreq/video.asp?ID=6
 
Scott

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Thanks, Scott. Great video but I must be the stupidest guy on the forum here because I still can't do what I am trying to do.  I followed your directions step by step and got a horizontal line for pan.  What I need is a diagonal line to pan from left to right during a measure.  Once I had the horizontal line I tried editing the start and end nodes, but that did not give me a smooth horizontal line.
 
Also, in this mode I still cannot get the LINE tool to do anything.
 
I think the line tool is what I need to draw a diagonal line but I cannot get the line tool to do anything.

+1 for Scott's suggestion. Also, be aware if you have lots of nodes that you want to be the same height you can grab them and move them together...
 
Here's a random bizarre scenario: you want every other measure panned an equal 45% left and the other measures panned 45% right.
 
Steps:
1. Move the whole pan envelope to 45% left.
2. set the snap to grid to 1 measure and highlight the first measure you want panned right
3. hover near the top of the selected region until the mousepointer changes and click drag it down so the envelope adds 2 nodes at the start of the selection and 2 nodes at the end and moves the envelope for that one measure to pan right. Don't worry about how far right just yet... just pan it right.
4. Do this for every other measure in the tune.
5. lasso select all the nodes in the envelope that are panned right.
6. Drag all the selected nodes to the extreme right position (100%) and let go.
7. Now they are all at 100% right.
8. Click drag all the selected nodes to 45% right.
 
All done. :-)
 

To create a smooth diagonal line try this...
1. create envelope and move it to 45% left
2. create two nodes in the envelope. 1 where you want the diagonal to begin... one where it should end.
3. ctrl+click the envelope to the right of the second node you added in step 2 and move the envelop to 45% right.
 
Now you should have an envelope that begins at 45% left.. at node one begins to transition to 45% right. At node 2 is has completed its transition and stays flat at 45% right for the rest of the song.

gswitz, Pls don't shoot me, but what do you mean "create envelope?"  I feel I am missing a step.
 
Also, if anyone can explain why the line tool won't draw a line, that would be very helpful.

ok... In tracks view, click the drop down on the left where it says 'clips' and select automation then Pan to add the red pan envelope.
 

 
next drag the envelope left... add two nodes... ctrl click the farthest right segment and raise it.

konradh
gswitz, Pls don't shoot me, but what do you mean "create envelope?"  I feel I am missing a step.
 
Also, if anyone can explain why the line tool won't draw a line, that would be very helpful.

i think you're just clicking on the pencil tool.  click and hold the pencil tool and a menu will come up - select line.