I can't seem to work out how to do it.

On video track 1 I have a video clip.

On track 2, I have a title containing text which I would like to fade in and out using "dip to black" transition..

How can I add a transition to the title in track 2 so that it won't affect the video in track 1?

Thanks

Have you tried using a cross dissolve?

I have been using cross dissolve to do exactly what you describe. If will fade in/out if there is no clip right next to the title in the timeline. Works great for me! :)

Cross dissolve at the beginning and end of the V2 track is the standard way to get the desired effect.
The V1 track will remained displayed at full opacity throughout the fade up and fade down of the title track.

Set key frames on the brightness (the yellow line) of the title track by using control-click (on a PC, cmd click, I think, on a mac) at the points you want the effect to start and end, then adjust the brightness to suit. Much faster and better control than using a canned effect....you can even use multiple key frames and change the rate of the fade by changing the shape of the line....

Thanks everyone. Cross dissolve works perfectly.

Dip to black always dips the whole screen to black, that's the nature of the transition.