Select Add a layer style icon from bottom part of the Layers panel and click to Inner Shadow:

Set the Gradient Overlay

Click in the color bar to open the Gradient Editor and set the color stops as shown. Click OK to close the Gradient Editor dialog box.

We’ve got the next sphere:

Select now the Rounded Rectangle Tool (U) (set the Radius to 10px in Options bar) to represent the ball’s holder. Incline it a little with the Free Transform (Ctrl+T). This layer will be placed lower than the ball’s layer. The color used for this element is #FEDF36

Try to represent now an ornament around the made holder, using the Pen Tool (P). Choose the color #FB2D0C. The layer needs to be placed lower than the ball’s layer, but above the layer with the ball’s holder.

Next we’ll draw the holder’s ring, using the same Ellipse Tool (U). This layer will be situated under the layer containing the glob’s holder.

Set the Fill to 0%. Select Add a layer style icon from bottom part of the Layers panel and click to Stroke:

Click in the color bar to open the Gradient Editor and set the color stops as shown. Click OK to close the Gradient Editor dialog box.

We’ve got the next Christmas ball:

Select Soft Round brush from Brush Tool (B):

Create a new layer and using the Soft Round brush add some brightness on the right side of the ball.

Select Add layer mask icon from bottom part of the Layers panel. Change the foreground color to black. Select a Soft Round brush of black color to erase the unnecessary elements us shown:

Let’s represent a highlight of white color on the right side of the ball, using the Pen Tool (P).

Applying the Custom Shape Tool (U), it’s possible to add the snowflakes on the ball of the color #F84202

Combine in a group all the layers composing the Christmas tree ball (in this case press CTRL button to select the corresponding layers and then hold on the left mouse’s button while dragging the selected layers on Create new group icon from bottom part of the Layers panel). Make a copy of the new group that we’ve got and turn it over a little with the Free Transform (Ctrl+T) us shown:

The last step includes adding the small stars, using the Custom Shape Tool (U). The Free Transform (Ctrl+T) will be helpful in turning over the new drawn elements.

The final result!

View full size here.