A little help here.

[mAdLaX]

It seems I have there's not much choice for me, so I would ask for everyone's help and advice.

How do I index something like this:


That would make a result like this on mugen:

If anybody knows please show me some tutorials or teach me how to do it, I'll be all eyes! And I need all the help I can get.
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When I tried to index it this is my result so far:

It's my biggest problem at the moment.

Notice: I'm using Adobe Photoshop CS3 to index images.

[Cyanide]

The problem isn't indexing, it's that you need the outside to be partly transparent. You actually need to go a couple of steps further to get this right though.

Moon itself without the glow = sprite 1
The glow on its own, no moon = sprite 2
Line them up correctly and add both to the sff. The glow should be set up as an anim (i forget if you can use trans on basic stage elements...)
Use the group, image, x, y, time,,A method to display it, you'll get rid of the black that way but the moon itself won't let any of the BG through it which wouldn't look so good.

Your problem isn't index, it's putting it into mugen with the right transparency setting. Alpha.

[mAdLaX]

Problem Solved! Thanks for the help.
Thanks! I'll try your method out, I hope I will get it right.