first I had to create the flag. this was easy because the canadian flag only has two colors. red and white.
step 2 of 7
added the white color.
step 3 of 7
from the source image, took the leaf from the background and painted with red the put the blend mode in overlay. then in another layer painted again with red and blend mode in soft light . then moved it to the flag layer.
step 4 of 7
using free transform put the leaf in the middle of the flag
step 5 of 7
found this image in sxc.hu and thanks to them and to nkzs
step 6 of 7
desaturated the image, apply levels and gaugassian blur. then saved the image like a psd file.
step 7 of 7
put the flag image over the silky image and then used distort filter, displace with values of 10 and 10 and displacement map . blend mode overlay