The easiest way for a single picture (wouldn't recommend it long term as it would take longer) is:
1. Create a new layer.
2. Draw / Type your watermark.
3. Change the opacity of the layer so the watermark is kind of see through (if that's what you want).
If you're looking for a proper solution to apply to all of your images then there are much better programs for watermarking. Adobe Lightroom being the best all round program which is pretty much an editing suite with the option of watermarking too.
Do any heavy editing in CS5, then put all the pictures into Lightroom, do final tweaks, watermark and export at whatever size you want the image, ready for web etc.
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