I wonder if this might help.
Getting MarkDown and SmartyPants working with EditPad Pro
SmartyPants
Quote:
SmartyPants is a free web publishing plug-in for Movable Type, Blosxom, and BBEdit that easily translates plain ASCII punctuation characters into “smart” typographic punctuation HTML entities.
SmartyPants can perform the following transformations:
Straight quotes ( " and ' ) into “curly” quote HTML entities
Backticks-style quotes (``like this'') into “curly” quote HTML entities
Dashes (“--” and “---”) into en- and em-dash entities
Three consecutive dots (“...”) into an ellipsis entity
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