Let's make a button... It is the Corel Palette Shape again. The steps are basically the same too. Just follow the three steps given below.

First Step: Fast Track Create the Blue Shape layer above the Gray Background layer. The original Palette Shape layer is hidden behind the Gray Background.

First Step: Step-By-Step: Open the Corel Draw Palette_Shape.TIF in Photophop. Relabel Background layer to Palette Shape. Create two new layer. Click on the Create-New-Layer Icon twice. Relabel the two new layers. Relabel layer 2 to Gray Background. Relabel layer 3 to Button Face. Click on the the Foreground Color Patch in the Toolbox to open the Color Picker. Set the HSB values. H: 262 S: 100 B: 90 Highlight the Button Face. Click on layer 3. Fill the Palette Shape with the Foreground Color. Select the Magic Wand Tool from the Toolbox. Click in the Palette Shape. Highlight the Gray Button layer. Click on layer 2. Select the entire layer. Click on the "Shift" and "A" key simultaneously Fill the Gray Background layer with middle gray. Edit > Fill > Use: 50% Gray.

Your Layers Palette should be looking similar to the sample to the right.

Second Step: Fast Track Create Shadow layer #4 and Highlight layer #5 below the Button Face layer #3.

Second Step: Step-By-Step Duplicate the Button Face layer twice. Drag the Button Face layer to the Create-New-Layer Icon twice. Move both copies below the Button Face layer. Color one of the copy layers to black for the shadow. Image > Adjust > Hue/Saturation > Check Preview and Colorize > Lightness value -100 Relabel the Black layer #4 to Shadow. Color the other copy layer to white for the highlight. Image > Adjust > Hue/Saturation > Check Preview and Colorize > Lightness value +100 Relabel the White layer #5 to Highlight. Nudge the Highlight up and to the left by 1 click. Highlight the Shadow layer. Click in Channels layer #4. Nudge the Shadow down and to the right by 1 click. Soften both the Shadow and Highlight slightly for realism. Filter > Blur > Gaussian Blur > Radius: value .03 Pixel, which is very slight. Do the same to the other layer. Recolor the Highlight for harmony. Change the Foreground Color to H:247, S: 42, and B: 100. Select the Fill Tool from the Toolbox. Click in the Channels layer #5, Highlight layer. Select the Fill Tool from the Toolbox. Click in the Shape to Fill with the Foreground Color.

Your Layers Palette should be looking similar to the sample to the right.

Third Step: Fast Track Create an Intermediate Shadow and Highlight layers.

Third Step: Step-By-Step Duplicate the Button Face Layer twice. Drag the Face layer to the Create-New-Layer Icon twice. Move both copies below the Button Face layer. Color one of the copy layers to black for the shadow. Image > Adjust > Hue/Saturation > Check Preview and Colorize > Lightness value -100 Relabel the Black Layer #6 to Inter-Shadow. Color the other copy layer to white for the highlight. Image > Adjust > Hue/Saturation > Check Preview and Colorize > Lightness value +100 Relabel the White Layer #7 to Inter-Highlight. Nudge the Inter-Highlight up by 1 click (no side movement). Nudge the Inter-Shadow down by 1 click (no side movement). Move the Inter-Shadow layer below the Highlight layer. Special treatment to the Inter-Highlight layer. Click select the Inter-Highlight layer. Go up to the Opacity gadget and reduce the setting from 100% to 39%. If necessary, look at the Layers Palette sample below.

Notes On The Above, Step 9: Mixing Colors using Opacity.

Notice how the white Inter-Highlight layer interacts with the medium blue-gray Highlight layer to produce an in-between color.

Mixing Colors With Opacity: Opacity affect the transparency of a layer. A 39% Opacity in the Inter-Highlight layers allows 61% of the Highlight layer color to show through. In tis case, I use the Opacity setting to mix the right in-between color and value for the intermediate layer.

Click Next for Button continuation, Drop Shadow.