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Everyone probably knows about this beautifully painted miniature: http://www.coolminiornot.com/300409

I have a very hard time with cloak and pattern on cloaks. Could some veterans give some tutorial or links to resource on how to achieve such cloak effects?

Have a search for 'freehand' or 'ridiculous painting skillz'

I think this mini was by Nakatan. The guys' work is awesome, sadly he has yet to provide a tutorial or anything else educational as to how he gets such great results..... Frankly, I think he just has a very steady hand and a wonderful understanding of how to place highlights.

While it's true you need a steady hand and a good understanding of highlighting a model, that is only part of it.
You really do need to have a plan and know how to map out the design you want beforehand. Starting something like this and "hoping" it comes out probably is not the way to go.

That being said, I have a post on my blog that talks a little about mapping freehand designs and how to go about doing it. There are tricks you can use to make it easier on you.
http://fromthewarp.blogspot.com/2011/02/freehanding-when-to-do-it.html
Hopefully this helps get you started.

Hi Ron,

Thank you for the link. I have been reading your posts for a while now. Thank you for all the well written articles.

Now, regarding the link I posted in the original post, for the inner part of the cloak, is that BEFORE shading or AFTER shading?

Probably a little of both. If I were a betting man, I'd say the majority of the shading on the purple was done before the gold pattern was added. Then maybe a wash/glaze or two to tone down the gold design in the recessed areas afterwards and tie everything together. But... that's just a guess if I had to make one.