Apply the here demonstrated parameters for the layer: Blending Options>Outer Glow

Blending Options>Inner Glow

Select now the Rounded Rectangle Tool (U) to represent a segment of metal pipe.

Place the pipe’s layer lower than the wheel’s layer on the layers’ palette. The layer’s parameters: Blending Options>Inner Shadow

Blending Options>Inner Glow

Blending Options>Gradient Overlay

Gradient’s parameters: