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You don't have to use any programs if you don't want to. It can be done right in Photoshop
Just add whatever text or watermark image you want, then go into filters and edit its transparency settings until you have the watermark effect you're after.
(those directions are from memory and in CS4 so the transparency settings might be somewhere else, just look for a couple mins and you'll find them pretty quick)
EDIT: I just realized this is a four month old thread, didn't mean to necro :P
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Awesome sig coming to a post near you!
If you say plz because its shorter than please, then I'll say no because its shorter than yes.
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