Although my job is to edit raw footage (In the real world) I'll keep my comments to a minimum.
Transitions are fine. But, if you have background music, you MUST time the transitions with the music. I know it is a pain in the colon, but it's vital so people don't get bored with them.
Know where to cut the playhead between scenes. I edited a tape the other day that had exactly 100 scenes in it. 50 of them stillshots. I tell you, that was the most annoying thing I've ever done. You need to cut the sections of a scene in which absolutely NOTHING is happing but the SEAL guy running.
When you use the music, you should have the option of increasing and decreasing the volume during the movie (Casablanca Avio and IMovie have this. I don't know what editing software you're using). The option for uploading the game sound should be there as well. If that's the case, during the intense scenes in which you have 4 or 5 guys shooting at you and you (The hero) managed to kill them all, do a fade on the music, fade up the sound (If the game music is there IE- Bomb pick-up, plant, whatever, don't do this. The game music will clash with the song you're using.) and cut the sound at the exact end of the action, and bring back the music at 150% volume (I'd split the audioplayhead and play the chorus at this time)
Text during the movie is always good additions. Have text roll across the top of the screen to give people to read while they are enjoying your movie. Although, they can be a distraction, so don't use it too much.
Have action hit the climax towards the end. Do something at the begining of the video in which it catches the viewers attention but isn't the most powerful part of the movie. This is true in the majority of media.
Know what the viewers like and stick with it. If you feel you're making a video full of stunts, then stick with that. If you're making a video of amazing ways to die, then just edit into the movie amazing ways to die. A single topic keeps the movie interesting. But don't do the samething over and over and over and over and...
(During funny movies) Random things that catch people's attention but doesn't divert it from the movie is perfect (Example for this is the
http://www.funpic.hu/swf/numanuma.html . The random pictures that pop up steal my heart)
I hope this advice is enough. Movie was good, but frankly, it wasn't up to the standards of "Cheesy".
http://www.funpic.hu/swf/numanuma.html w00t!