Reflected Text

Open an image of photographic quality.

Press Shift + D to duplicate it. Work on the duplicate, not the original.

Select the Retouch Tool. On the Control Palette, Tool Control Tab, select the Smudge Tool. On the Brush Tip Tab, set the brush size to 49, the opacity to 63. For Shape, I switched between Horizontal and Left Slash. Smudge the paint on your image until you have a 'pattern' you're pleased with. For an image that is light in color, a few passes in the same direction will be sufficient. Since I wanted to pull the yellow down into the image, I first used the Horizontal Shape, pulled the color down and then switched to the Left Slash , making single passes from bottom left to top right until the canvas was covered.

Select the "A" on your Tool Palette. Click in the exact center of where you want your text in your image. This does not have to be the final location of your text, but rather the portion of the image that you want to appear 'inside' of your text. In the Add Text Dialog box, check antialias, and make sure Floating is not checked. Select your font, font size and style, type your text and click ok.

Press Ctrl + C to copy the text, press Ctrl + L twice to paste the text as two new layers.

Press Ctrl + D to deselect. In the Layers Control Palette, turn off the background and layer two by pressing the Layer Visibility Toggle.

Select Image | Flip from the menu bar. Working on layer one, select the Retouch Tool from the Tool Palette; the Smudge tool should still be selected. The only setting that needs changing is the Opacity which should be adjusted down to 15.
Working from left to right, run the Smudge Tool over the text once.

Rename this layer Reflection by right clicking on the layer button in the Layer Controls Dialog box.

Turn on layer 2. Rename this layer Text.

Using the Move tool, position text layer so that the bottom of the text on the Text layer touches the top of the reflection text.

Open the Layer Control Dialog box and add a new layer. Name this layer Backdrop.

Turn off the Text and Reflection layers.

Change the foreground color on the Color Palette to black. Using the Fill tool, fill the layer with solid black.

In the layer Control Palette, move the Text layer button above the Backdrop layer, then move the Reflection button above the Backdrop. Your final button 'stack' from bottom to top should be Backdrop, Reflection, Text.

Trash the original background.

Add a little realism by deforming the reflected text.

Additional Resources:
The WDVL: Introduction to PSP 5 - Deform Tool