The Camera app in iOS 7 comes with various shooting mode to allow you to shoot photo, video, square photo and panorama. The mode indicator bar is above the shuttle button, the current shooting mode is in yellow text with a dot above.
You can switch between shooting mode by swiping left or right on the mode indicator bar. You might find this bar too narrow. Many iOS users have struggled to use this tiny bar without realising that the shooting mode can be changed by swiping the much bigger main screen. That’s right. Just swipe left or swipe right on the main screen to rotate through the camera modes.