STEP 3
Go to Filter>Blur>Gaussian Blur. Now enter the radius as what you had got in step 2. I am going to enter 13.356. Press OK.
Now change the blend mode to Overlay and reduce the opacity to 70-75%.
I have written a whole tutorial on Blending Modes in Photoshop and you should check that tutorial out if you are not aware of the power of Blending Modes.
