First of all choose a font.
Turn the letter to pink and make duplicates.
Apply a red stroke10 pixel.
Feather it at .1.
Give the lettering a lighter shade.
Make the other copies white.
Drag the lettering at the top down over the other.
Pick Subtract from shapes area.
Shade the highlight and resize to fit the lettering. Feather it at .02.
With the Round Cap and Round Join on the stroke, set the stroke width to 20. Apply a feather of .1. Convert it to outlines.
Drag a copy up and change its colour.
Invert the letter to a stroke. For the highlight too do the same and make the feathering .05.
Make a copy of the lettering and use a darker colour. Then feather it at .05.
Create a copy of the back letters and paste it. Then change to a stroke of 10 pixels and apply feathering. Cut out two more letters for the bottom of the highlight area. Change the colour to a blue highlight. Use the Subtract from shapes area once again. Apply feathering as well and move it into place.
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