Types of editing.

There are different types of editing, or editing techniques, which are very useful to know:

Continuity.

Its when the audience should not be able to tell when the cuts have been made. A group of shots put together and linked by the plot.

Montage.

Its used to present big amount of information or the long period of time in the short way. Apart from that, they may be used in the beginning of the TV show to shortly inform the audience about what happened in the previous episodes.

Transition.
A process of moving from one shot to another. Transition has many different types: straight cut - when one image is suddenly replaced with another with no extra effects; face up - when one image is gradually fades into shot and fade out - when the image gradually fades out of the shot.

More examples of transitions.

Wipe.

Its when one image is replaced with another dissolving and it eliminates the first shot then replacing it with another shot.

Dissolve.

Its when one scene or image gradually moves onto another one and kind of 'fades away', so there's a very smooth transition.

for example:

A cross dissolve someone spotted in the 'Wolf of Wall street'.