Making patterns with Overlays

I want to make pattern papers using layers and have found this tutuorial of someone using Photoshop CS3. How would this work in X5 .....can't get my head around it. How is the colour applied to the black pattern underneath the coloured layer. I have been searching for tutorials on making patterns with overlays all afternoon but they all seem to be done with Photoshop

 

http://www.youtube.com/watch?v=Px--EwNzj0A&feature=related