1. In Photoshop, select File/New, and fill with black. Create your text using the Type tool.
In Photoshop 3, you'll want to select only the text by using Control+Alt+T on Windows, or Command+Alt+T on the Mac.
In Photoshop 4, you won't need to select the text.
In Photoshop 5, you'll want to select Layer/Type/Render Type, or right mouse click on the "T" icon in the layers palette and select Render Type. Then select the Transparency Checkbox on the Layers palette before you apply the gradient.
Next, use the Gradient tool. You can change the setting of the Gradient tool by double-clicking on the Gradient tool icon, which will open the Option palette for the Gradient tool. Set your background color to black, and the foreground color to very pale gray as shown in the example. Double click on the Gradient icon to open the Options Palette. In the Options Palette, set the type of gradient to Linear, and the Gradient to Foreground to Background.
You can use any two colors, as long as one of the colors matches the background (black was used in this example).
Apply the gradient from top to bottom of the text selection while holding down the Shift key. Using the Shift key with the Gradient tool constrains the gradient to a smooth vertical blend.
Remember, even though this technique is demonstrated with type, you could also use this effect on clipart, line art, or a logo, as shown below:
The fish, above, is from a dingbat font called Diversities, also available from ImageClub and included with CorelDraw.
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