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This video demonstrates adding a watermark to a chart in Excel or PowerPoint. The process involves creating the watermark in PowerPoint, saving it as an image, and using it as the background of the chart. It entails creating a text box with formatted text rotated 45 degrees, typically using medium to dark gray colors, and making the text bold. The standard practice is to rotate the watermark 45 degrees counterclockwise. Holding the shift key while rotating in PowerPoint helps achieve this easily.