I used to do forge mods with shaders to make the ultimate house on a floating island (MCEdit).
Unfortunately now, no matter how hard I try, I can't get installing shaders to work. :(
1: Install Optifine
2: Use the shaders installer
3: Replace the files in the Shaders folder inside the .jar
4: Use the "SEUS_Adjusted.zip" texture pack, or another SEUS texture pack.
5: It should work.
Sonic Ether's Unbelieveable Shaders v10 Beta shades water blocks by looking for blocks that are pure magenta. As such, your water needs to be textured pure magenta, so you need a SEUS adjusted texture pack. v10 comes with the default texture pack adjusted, but you'll probably need to manually apply this to others.
Edit:This one was posted on reddit yesterday I think (warning, loud!): http://www.youtube.com/watch?v=Czj6m1nhRCE