The Color Picker uses the Hue, Saturation, and Value Model. For a more detailed explanation of this model, we recommend a web search on it.
Hue
Hue is the first way we perceive color and is typically what we comprehend a color to be. The visible spectrum of color moves from Reds, to Oranges, to Yellows, to Greens, to Blues, to Indigos, and to Violets. To select a color from among this spectrum, use the slider, enter a numerical value, or use the up and down arrows of the text box to adjust the value. Numerical values began at 0 in the Reds and move through the colors up to 360 in the Violets.
Saturation
Saturation determines how vivid or washed-out a color will be. Use the slider, enter a numerical value, or use the up and down arrows of the text box to adjust the value. The lower the value, the more washed out it will appear.
Value
This setting determines how light or dark the color will be. Use the slider, enter a numerical value, or use the up and down arrows of the text box to adjust the value. The lower the value is, the darker the color will be.
Transparency
You can set the transparency of a color using the slider, entering a numerical value into its text box, or using the up and down arrows of the text box. This determines how see-through the color is or rather how visible something beneath it will be. The lower the value is, the more transparent the color will be.