Add 3D and Wrap Up
To add 3D look to your Christmas ornament, create a new layer called "3D" in your "Layers" palette. Hold the <CTRL> button down while you click on your fundamental layer so you have them both selected. Next, click on the fundamental layer to de-select it (your circle should still be selected). You should now see your circle selected as well as your 3D layer as shown below.
Now, click the "Edit" option on the main menu and then click "Fill." Choose "Black" for the "Use" field and set "Opacity" to 100%.
Click the "OK" button. Now, go to the "Layers" window and click the "Add Layer Mask" option at the bottom. You will now see a layer mask icon appear on the 3D layer section of the "Layers" window.
Click the icon to the left on the "3D" line and then grab the "Gradient" tool from the Photoshop toolbox. Draw a gradient from the top left toward the bottom right. You should now get something similar to the image below.
Now draw an oval to use as the top ring of your Christmas ornament. After that, click on it with the select tool, hold the ,ALT> key down and then tap the "Up Arrow" key on your keyboard to build the area that holds the hook. You will end up with something like the following image.
All you do now is free transform the topmost layer into a smaller oval and then fill it with black and you're done.
Now you know how to make a Christmas ornament in Photoshop. To adapt this for your own use, you may want to change colors and gradients or add additional effects. You could even try saving your ornament as a Photoshop custom shape. Merry Christmas!
Image Credits: Screen shots taken by Bruce Tyson