Video shot boundary detection has been an area of active research in recent years. It plays major role in digital video analysis domain: video compression, video indexing, video content based retrieval, video scene detection and video object tracking. This paper approaches the video cut transition detection based on the block wise histogram differences of the dominant color features in the HSV color space. Most of the cut identification techniques uses a thresholding operation to discriminate between the inter frame difference metrics values and thus identify the video breakpoints. An automatic threshold calculation algorithm is used for cut identification process. Experimental results show that the proposed method gives better results than the existing methods. © 2010 ACM.