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Blending Images
For tutorial, I will be using these two images. click, click

Choose what size you want your blend to be a create a new image. I will be using 400x300. Paste the two image and have one overlap the other like this:


Now DO NOT use the marquee tool. Cutting the edge of an image is NOT blending and most of the time it does not look like it. Use the eraser and start erasing the overlapping parts. When you're done it should look something like this:
  
 
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