Stuck in the process of creating reflections

I'm a n00b in here and to photoshop as well. This is my first post, so suppose I should say hi to everyone.

I'm just getting started to learn about the techniques of this, and I have just read the tutorial section about creatin' reflections. I'm lost in somewhere, stuck in step 8 as shown in here. The problems I've been having are I have no idea how the texts become marquee-ed. Also I don't know where that "GRADIENT" layer was from as shown in screenshots below.



For your information, I already got to the part that the reflected texts are shaped properly as it should be by now. I only need help on changing texts from foreground color, which is white, to transparent. Your help would be so appreciated. Thanks.

On your emboss copy latyer, you need to select just the text by command-click in the layers pallet on the layer you want to select. That will just select the Emboss Copy layer your transformed.
Next. While it is highlighted with the little 'ants' as Mr. Pank said earlier, select the Gradient tool. Up on the top you will see a little area that shows the gradient. Click on that and then an options window will show. - the 'Gradient Editor' There should be a preset that defines foreground to transparent. Mine is the second one. It'll say. Now your foreground color (white) will be the solid color to transparent.
Now while the morphed text is still selected, you can shift (mac?) and move the gradient tool in the right direction over the text, but just over the text and you will see that the gradient only covers where the text is.
Does that help?