ok, fire up 2 audio channels. lets say a bass line and a kick.
put comp on bass track and you'll see the new sidechain panel (press the triange on top left to expand if you can't see it!). drop down 'audio from' and select the kick channel.
reduce the threshold and hear the effect. if you want to really hear the effect, silence the kick by changing the 'audio to' on it's channel to 'sends only'. you should hear nice and easy what it's doing...
ok so now onto eq. activate the eq. this filters the sidechain input so it only responds to certain frequencies. you might want to use this if let's say you were using a drum loop instead of a kick and want to just use the kick out of this loop to drive the sidechain.
you can also monitor the input by clicking the headphones button between the sidechain and eq sections. if you do this, sweep that freq knob about and hear how the sound changes as you alter the freq of the filter.
gate and auto filter ALSO have sidechain. try replacing the compressor with the gate. activate the sidechain, choose the audio from channel, from the drop down like before. now, when the kick falls below the threshold the bass will cut out completely. not the best for a kick/bass sidechain combination of course, but try other combinations instead!!!! experiment!!!!
the auto filter lets you trigger the envelop follower with another signal! this is genius!!!!