I have Photoshop Elements 7 and this is how i load layer styles
Make sure PSE is closed, then go to Start Menu, then Computer - Program Data - Adobe
Photoshop Elements - 7.0 - Photo Creations and then Layer Styles. Copy the ASL file and
XML file to the Layer Styles file.
Open Photoshop Elements and open the Layer Styles in the Effects Palette. If you still
can't see it, click on "show all" and it should be visible.
Hope this helps