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In this tutorial, Ashley from CT Arena Digitals demonstrates how to use backdrop strip overlays in Photoshop. She covers using the overlays on various images, including a close-up, a white background, and a medium color backdrop. Ashley explains two methods for placing the overlay layer: copying and pasting it or using the 'File' > 'Place Embedded' option to navigate to the desired folder. She emphasizes that there is no single correct way to apply blending modes, as it will vary based on the backdrop color and the photo. Ashley shares her technique for tweaking the overlays to achieve the most realistic effect for each image.