You can do a much better job in Adobe Illustrator with text. Text will follow a path of any shape or size.

In Adobe Photoshop 6, after selecting your type tool, there is a "Create Warped Text" which is on the tool bar at top, to the right of the text color swatch. There are different styles to warp your text.

Another way is as follows:

1. Create a new document, type your text then rasterize it.
2. Image - Rotate Canvas - 90 degrees CW
3. Filter - Distort - Shear
   Add new points on line and move them around as you want.
4. Image - Rotate Canvas - 90 degrees CWW