- Select something…
- Select > Modify > Feather
- Select > Inverse
- apple + J
- Select the new layer
- Blur (Filter > Blur > G. Blur @ 15?)
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Color Overlay:
- New Layer (layer>new>layer)
- Pick color
- With paint bucket: fill in your new layer
- Change layer blending mode to OVERLAY or SOFT LIGHT
- Lower the opacity to 40-60%
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