[Dean Gransar]

i actually figured this out right now — not sure why i’m here anymore. this is how it goes…
on the top left there is a panel having lots of tabs bellow it. click on transitions and choose dissolve from the menu you see. The thumbnails actually show how the transition looks like if you click on them. choose Fade Through Black and drag and drop it at the end of the clip you like to fade. notice that when the mouse is at the end of the clip there comes a plus sign. drop and let go. you see a dialogue box which helps you modify further. to increase duration of fade zoom in and extend it.
Dean.

— dean the green machine