Step1
First of all, if you do not know how to get into the blending options, it is fairly simple. Open a new file in photoshop and create a layer. You can put anything on this layer. Right click the layer and you will get many options. Click 'Blending Options'. Blending options have nearly infinite potential to make something the way you want.
Step2
The drop shadow category.
Drop Shadows: is an option available when blending. This allows you to cast a shadow at a certain distance in the exterior of the object you are blending.
-Blend Mode: Just like Filters, you can use this if there is something behind the object you are blending.
-(Color box) : This is the color of your shadow. Clicking on this will open a color picker to change it as you please.
-Opacity: Changes the transparency of the shadow.
-Angle: The angle at which the 'light' will come from. The opposite of the angle is where the shadow will be placed.
-Distance: How far will the shadow be from its object?
-Spead: How concentrated the shadow will be. Will it take an exact image of the object, or will it be more blurred.
-Size: How big the Shadow will be.
(Quality)
-Contour: How the shade will take place. The contour, as the word says it is how the shade will wrap itself around the object. A straight line diagonal, would wrap itself in the area shaded. In the image, for example, this means that the shade will appear in the bottom right corner.
-Noise: This is kind of like the spread function, but instead, it makes your shadow turn into some sort of spreading little pixels.
Step3
Inner shadow category.
Inner Shadow: This is an option allowing you to create a shadow INSIDE the object instead of outside the object.
The options in the innershadow category are the same as the Drop shadow category and do the same things, but towards the inside, think of your object as thought it was steep and the sun reflected it from a certain distance.
Step4
Outer glow category
Outer glow: As the name says it, it creates a 'glow' or 'radiation' type effect towards the outside of the object.
NOTE: I will be leaving all the things mentioned in drop shadows, because they give the same effect to the other categories.
(ColorBox): There is a color box under the noise option. This is what color your glow will be. You can check it as a solid color or a gradient .
(Elements): Spread and Size affect each other.
Technique: There are two options: Soft or Precise. This is usually just left default. Soft is rather 'feather' like. Precise is making it wrap EXACTLY like the image.
Spread: Make your glow bigger!
Size: How big your Glow will be.
(Quality): Range and Jitter Affect each other. Also Range, Jitter, Size, Spread all affect each other on how your glow will be.
Range: How far does your glow go?
Jitter is not really needed. But can help make your glow the way you want it. But not very much.
Step5
Inner Glow: The inner glow is the same thing as the outer glow, but heads towards the inside.
Step6
Bevel and Emboss: This category allows you to make your image more 3D like.
This also has 2 sub categories: contour and textures. I will leave these alone for now.
Style (Inner Bevel): Makes your object 3D like. Makes it look as though it stuck out of the image.
(Outer Bevel) the exact opposite of inner bevel. Makes it look as though it is stuck steep into the image.
(Emboss): Very much like the Inner Bevel. Makes it look as though sticking out.
(Pillow Emboss): This makes it seem as though your image was pushed in, but has a contour that is more Pushed in.
(Stroke Emboss): Makes your stroke(Contour) have a 3D look. Only works if Strokes were applied.
Depth: How much effect do you want on your style. Example: Inner bevel, makes look as though it stuck out even further.
Direction: Changes the direction it looks like it is going.
Size: How big will your style be? If you put in too much it will start to make a gradient like effect (If it is text), But if it is an image, it will make your Style much larger or much smaller.
Soften: Soften your style. Make it smoother or have a smoother surface.
Angle: Where the 'Shadow Mode' Appears.
Altitude: Where the Highlight mode appears.
Highlight mode: You can change the color of one side of the Bevel. Usually uses light colors, if you are doing 3D effects, but you're free to decide on that.
Shadow mode: Where the shadow picked color appears. Usually uses dark colors if you are doing 3D effects, but again, you are free to decide on that.
Bevel and Emboss can also be used to make a smooth colored object if used properly.
Step7
Satin: Adds a slightly dark shade in designated area. But you can pick whatever color you want this shade to be, and where. It can also be used to make a shine like effect as though your object was glossy.
Step8
Color Overlay: This just adds a color of choice over whatever object you want. Usually you can't use this with the gradient overlay. But if you change the blending options, it will appear, but the solid color will be gradient like.
Step9
Gradient Overlay: This adds a gradient color of choice over the object of choice.
Scale: used for more or less of one of the colors in the gradient.
Step10
Pattern Overlay: Adds a pattern of choice over your object. You can make it transparent, make it more concentrated and blend it. Normally default patterns aren't the best choice. You can always make your own patterns!
Step11
Stroke: Creates a contour around, inside or centered around the object. You can make the stroke big or small, and choose to have a gradient or solid colored stroke.