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Inside Photoshop
 
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  Adding text
 

Adding text in Photoshop is a little different from the procedure used in Word or other word-processing programs. Photoshop uses a separate dialogue box to control text formatting, and it places text in a layer all its own (this layer is created automatically; you don't need to create one on your own).

To add text to an image, simply click on the type tool and then click on your image. The type dialogue box will then appear:

 

As you begin typing your text in the box you'll see it appear on your screen. This will allow you to make changes in formatting and color as you see how your text relates to the rest of the composition.

Once you've finished entering text, click OK. The dialogue box will disappear, and the text will appear as a new layer in the Layers palette. If you ever want to change text you've already entered, just double-click on the layer containing that particular text and the dialogue box will reappear.

 
Two notes about the text tool
  • Even when you're entering text in the dialogue box you can still move it around on your image. Just place the cursor on the image, click-and-hold, and reposition the text (Note: you don't need to choose the Move tool to do this).
  • If you want to change the formatting of text you've already entered, you first need to select it with the cursor in the type dialogue box (just like Word). Otherwise, when you change the text parameters nothing will happen.