Cut out the horse using the rectangular marquee tool and applied a neon glow so the horse would be white and not black.
step 2 of 7
added wings, adjusted, rubbed out and adjusted curves =]
step 3 of 7
Tidied up the horse, added flare to the wings and adjusted blending mode.
step 4 of 7
Added outer glow, inner shadow and dodge and burn tools to the body. Also added a gradient overlay.
step 5 of 7
Added cloud overlay in a blending mode to get the blue again. Tidied it up even more.
step 6 of 7
Added background and adjusted curves, darkened the horse with burn tool.
step 7 of 7
Then I did replace colour twice, using a light blue and violet hue, then I adjusted Pegasus in the air and added some hovering clouds around his hooves. Finished!