I'm running MAC OS X (10.6.8), PS CS5 extended (12.0.4 x64) and LR3 (3.6). I've opened a DNG file in LR and then opted to edit it as smart object in PS. I've then used the quick selection tool to select an area in the photo. When I then attempt to 'Refine Edge', I get a circle with a diagonal line indicating that the action is locked out.
I can make changes using an adjustment layer (but not to selection).
Help will be much appreciated.
I'm trying to duplicate the problem without success. It sounds like the refine edge button is not greyed out? So can you click on the button, and is that when you get the 'No Entry' icon? Have you in Quick mask mode perhaps? Not likely, because you'd see the transparent areas of red.
OK, I have now managed to get the same result by not having any layers selected.