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How do I design a rounded corner frame in Photoshop?

I am doing a banner and wish to have a rounded frame around it, just like they have in some serverfault ads banner here for example.

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stackoverflow users, you must logout in order to see the banner – Larry♦ Dec 16 at 20:38

1 Answer

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  1. Use the 'Rounded Rectangle Tool' to create a shape layer
  2. Edit the effects for the new layer
    • turn on stroke and configure it to your liking
    • set advanced blending fill opacity to 0%
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