Absolutely.
Look carefully at your second (upper layer) clip, and you'll see there's a horizontal line in it. I you put your mouse over that line, you can drag it up and down. That changes the transparency of the entire clip.
If you want more dynamic effects, put the scrubber somewhere inside the clip and click on the "keyframe" button. That will open a window in which you can muck with all kinds of things: transparency, color balance, and so on. The keyframes show up as little balls on that horizontal line, and you can drag them around to change your results.
If you want to get fancier, though, you'll need to work in the keyframe window. You'll notice that there are three categories: Fix/Enhance, Effect, and Clip Attributes. Next to each one will be one or more bands. Each band corresponds to a set of keyframes that will affect the adjustments on the left.
In the "Fix/Enhance" category, there is one band (set of keyframes) for each adjustment.
In the "Effect" category, the number of bands depends upon the number of effects you are using and the number of adjustments each effect allows.
In the "Clip Attributes" there's only one band of keyframes, shared by all of the adjustments.
If the clip has audio, you can adjust its volume in this window. You can also do this directly in the timeline, but this way makes it easier to coordinate what you're doing in the audio and video.
This message was edited 2 times. Last update was at Jan 11. 2012 22:23
Jerry Schwartz