Open a new image 300 x 200, white background
Click on your shapes tool  use the following settings
  

I'm going to make my outline an oval.. you can make it any shape you want to though.

Go to your Layer Palette, right click on the circle layer and click Conver to Raster Layer.. that will get rid of the vector.

Now click on your text tool  and you'll change your stroke and fill to the opposite 

Type in the text that you want to appear on your watermark.  Selecting a thicker font works best.

Now use your magic wand  set the feather to 1 and select the area around the oval.  Go to selections, invert.
Your "dancing ants" will be only around the oval.  Copy and paste that to a new image (ctrl c, then ctrl v).
Now you'll have your oval with a white middle and your text on a transparent background.

We're going to make this into a tube so it's easy to use whenever you want it!
At the top left of your screen click on File, go down to Export, then click on Picture Tube.
All the settings there are fine as is, all you need to do is a type a name for your tube in the box.  I named
mine watermark. Then click Ok.
Now open an image that you would like to watermark.  Go to Layers, New Raster Layer, ok
Click on your tube tool  and find your watermark.  Make it a suitable size to fit the graphic you are working with.
Then click on the image, to put your tube on.  Now it's going to look goofy but it will look better in just a minute lol

Click on Effects, Texture Effects, then Emboss

Go up to your layer palette, on Layer 1.. or whatever layer your watermark is you're going to change the settings.
On the right where it says Normal click on the arrow and click on Soft Light.

You can stop here and be done.. or if you it stands out a bit too much for  your taste.  Go to your
layer palette and move the bar by the 100 on the right.. that controls the opacity

Tada! You're done, have fun!