Making a New Layer from a Selection and Slipping in Some Text - Photoshop

After selecting, say, some clouds with the magic wand, you can hit the keys:

Control + alt + J [windows]
or
Command + option + J [windows]

to bring up a window that will allow you to name and create a new layer from what is currently selected.











and BAM, new layer from your selection.









Now lets say you want to add text. Select the Type tool, or press the T key.



Makes sure you are typing in-between the layer you made, and the original background layer.

When you type, the layers should sandwich your text, like this.