The short answer is yes. You can still do recolors and eyes and whatever else. It just doesn't have all the advanced features of Photoshop. Although you can also do all of those things (and more) with
Gimp, which is totally free. You can also use
Paint.net which is a little more intuitive to learn, but it doesn't have the capabilities of Gimp and so I use it only for simple slider recolors or editing screenshots. While I have alll 3 programs, (PS Elements, Gimp and Paint.net), I use Gimp almost exclusively for making Sims 2 textures. The only time I use PS elements is when I use a tablet, because it plays nicer with mine than Gimp does.
