You have photoshop elements, but the color default should be the same. Hit "d" to set it back to default colors. Then double check to see if your brush is set to the actual watermark brush. And if that doesn't work, make a new layer and try it again.
It could also be the brush itself. If I could see the original brush picture you made it out of, I could tell you what you did wrong, if anything.
__________________
|flickr |deviantART|
Hardware: Canon EOS Digital Rebel XTi, Kit 18-55mm, Sigma 55-200mm
Software: Mac OS X 10.5.4, Photoshop CS4 Extended, Lightroom 2, Photomatix Pro
|