1. Create a new image canvas for the size of background you want to make. Set your DPI to 72, 8 bit.
2. Choose a dark foreground colour and lighter gray-toned background colour. Select the Gradient Tool, click on the gradient to edit it and select Foreground to Background as the setting. The gradient direction will be upper right to lower left.
3. Create a new layer by clicking on the New Layer icon in your Layer Palette and select the Elliptical Marquee tool. Make a selection over the area you want to appear in the foreground of your image. Select the Gradient Tool again, this time making the gradient go from the bottom right to the upper left of your image. *Do Not De-Select as you will need the Selection Line for more steps*
4. Now we're going to add some Style to our new layer. Click on the Layer Style icon at the bottom of your Layer Palette and choose Outer Glow.
A. Set the Blend Mode to Multiply and Opacity to 80%
B. Choose a darker shade of your foreground colour for the Glow Colour
C. Set the Technique at Softer
D. You can choose the settings for Spread and Size; I used 15% for Spread and 20 for Size. Don't make the Glow too large, as you will lose the effect shown in this tutorial.
5. Create another New Layer. Click the curved double arrow on your Colour palette to move your grayish background colour to the foreground. Next, go Edit>>Stroke and choose 5 pixels. Click OK. This will add a coloured curve along the edge of your second layer.
6. Click on the Add Layer Style icon again, and choose Blending Options. We are going to add two styles to this layer. Don't click OK until you've added both.
A. First we will add a Drop Shadow. Check the box beside Drop Shadow in the list on the left side of your Blending Options screen. Set the Opacity between 40 & 50%, 2-5 pixels for Distance and the default 5 pixels for Size.
B. Second we will add a Bevel/Emboss style. Check the box beside Bevel & Emboss in the effects list on the left of your Blending Options screen. Lower the Highlights and Shadow Mode Opacities to between 50-55%. Now you can click OK and hit Ctrl + D to de-select the image.
7. Next you will need to make two selections on the layer. You will do this by selecting the Rectangular Marquee Tool and making one selection on the left side of your image, then while holding down the Shift key, make a selection on the right side of your image. Release your mouse button then the Shift key when done.
8. Now, choose Select>>Feather and choose a pixel width of 10-12 pixels.
9. Go to Filter>>Blur>>Gaussian Blur and choose 2-5 pixels. Click OK and then Ctrl + D to de-select.
10. Now select the Elliptical Marquee tool again, and set the feather to at least 12 pixels. The amount of feather depends on how much you want this next step to appear to fade out. Click on Layer 1 and make an elliptical selection.
11. Go to Select>>Transform Selection. While holding down the Control key, move the elliptical selection around until you get it placed similar to the one in the illustration.
12. Choose the Dodge tool from the Tool Bar and set the brush size to 40. Brush over the selected area until you get an effect you like. Hit Control + D to de-select when done.
13. Repeat this step but with Layer 2 highlighted. Below are various completed images which have been colorized to show the effect in different colours.

