Apply the following demonstrated parameters for the new made layer: Blending Options>Inner Glow



Blending Options>Gradient Overlay



Gradient’s parameters:

 



Using the last applied instrument, it’s possible to draw a flare on the toy’s surface:



The layer’s parameters: Blending Options>Gradient Overlay



Gradient’s parameters:

 



Now we shall work with the top part of the toy decoration, selecting for this operation the Rectangle Tool (U) and the color #FFC003



Try to make that small wire ring, reserved for hanging up the decoration. Select for this manipulation the Ellipse Tool (U).



The layer’s parameters: Fill 0%
Blending Options>Stroke