1. A method for generating combined images from images taken separately with the same or a similar background, comprising the steps of: a) capturing, by means of a digital camera, a first image containing one or more selected items; b) capturing, by means of said digital camera, a second image containing one or more selected items that were not included in said first image while referring to position indicators of said same or similar background which were generated during a preview mode, the relative positioning of said one or more selected items of said second image being effected using said position indicators; c) identifying a best fit boundary between said first and second images; d) locally and automatically processing said first and second captured images by superimposing said second image on top of said first image along said best fit boundary and modifying some image data in the vicinity of said best fit boundary block by block, to generate a preview image that combines the selected items of said first image and the selected items of said second image; and e) producing a final image as shown in said preview image or as corrected by a user on receipt of an input from said user; wherein steps (a) through (e) are repeated with a third image; wherein first and second best fit boundaries are simultaneously generated between the first and second images and between the second and third images, respectively, or between the first and second images and between the first and third images, respectively, and then said second and third images are superimposed on top of the first image along said first and second best fit boundaries while some image data is modified in the vicinity of said first and second best fit boundaries block by block.