If the Earth had a spherically distributed gravitational field, a satellite's right ascension of ascending node would be constant. Right ascension of ascending node (RAAN) is expressed in Earth-centered inertial. This means the local time of the ascending node (LTAN) would be changing.
Fortunately, the Earth's gravitational field is not spherical. The Earth's rotation results in an equatorial bulge. This equatorial bulge causes RAAN to precess (or recess). The precession rate is approximately
$$\dot\Omega = -\frac32 \frac{Re^2}{a^2} J_2 n \cos i$$
where
- $\dot\Omega$ is the precession rate of the satellite's right ascension of ascending node,
- $R_e$ is the Earth's equatorial radius,
- $a$ is the semi-major axis length of the satellite's orbit,
- $J_2$ is the Earth's "second dynamic form factor", a unitless number that reflects the size of the equatorial bulge,
- $n$ is the satellite's mean motion (average orbital angular velocity), and
- $i$ is the inclination of the satellite's orbit.
Sun synchronous orbits are chosen so that RAAN precesses by 360 degrees per year, or a bit less than one degree per day. This specially-selected precession rate makes LTAN constant. Note that the inclination needs to be a bit greater than 90° to yield a sun synchronous orbit, the amount varying with orbital altitude. For a satellite orbiting at 600 km altitude, the required inclination is about 97.8°.
A dawn-dusk satellite is a special case of a sun synchronous orbit. The local time of ascending node is either 6 AM or 6 PM. This makes the local time of descending node 6 PM or 6 AM. A dawn-dusk orbit typically does not quite follow the terminator. Following the terminator would require a rather high orbit.
Most sun synchronous satellites are not dawn-dusk satellites. China launched the world's first dawn-dusk meteorological satellite a bit over a year ago. Most Earth observation satellites have a local time of ascending node sometime in the morning (e.g., 10 AM) or sometime in the afternoon (e.g., 2 PM). This makes the solar illumination angle nice in the sense of good illumination and some (but not too long) shadows.