Creation of this text effect follows the following steps:
(i) Click the Insert Text button on the Toolbar. 
(ii) Click"text tab".
(ii)Type your text.
(iv) Now click "timeline tab".
(v) Click "Add Effect" button to open "effect drop-down list".
(vi) Choose "Wave effect" from drop-down list.Wave effect dialogue box will open:
(vii) Enter above mentioned values in the dialogue box and click "OK".
(viii) Now test movie.
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