The reflection hologram, in which a truly three-dimensional image is seen near its surface, is the most common type shown in galleries. The hologram is illuminated by a “spot” of white incandescent light, held at a specific angle and distance and located on the viewer’s side of the hologram. Thus, the image consists of light reflected by the hologram. Recently, these holograms have been made and displayed in color—their images optically indistinguishable from the original objects. If a mirror is the object, the holographic image of the mirror reflects white light; if a diamond is the object, the holographic image of the diamond is seen to "sparkle."

The typical transmission hologram is viewed with laser light, usually of the same type used to make the recording. This light is directed from behind the hologram and the image is transmitted to the observer’s side. The virtual image can be very sharp and deep. For example, through a small hologram, a full-size room with people in it can be seen as if the hologram were a window. If this hologram is broken into small pieces (to be less wasteful, the hologram can be covered by a piece of paper with a hole in it), one can still see the entire scene through each piece. Depending on the location of the piece (hole), a different perspective is observed. Furthermore, if an undiverged laser beam is directed backward (relative to the direction of the reference beam) through the hologram, a real image can be projected onto a screen located at the original position of the object.