Go to the Timeline window.
If you double click on it you can rename it First Show.
Then, just drag and drop the media Red Loop from the media bin to the timeline, it creates automatically a layer.

To add a fade in about 2 seconds, double click on the layer and set a 2 seconds value.
This will automatically create the animation keys on the opacity.

Put the media in loop mode and freerun, in the Editor tab.
Now, as long as the reader head is on the layer the video will playback in loop

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