If that 18-135mm lens is the Nikon version, then f/3.5 is your maximum aperture. You are likely to get better image quality at f/4 to f/5.6 than at f/3.5, however you'll need to check reviews at photozone.de or somewhere for actual results.
Another factor to achieving the blurred effect (bokeh) you're after is focal length in addition to what Overread stated with regard to subject-to-background. I'm fairly confident that the wider the field of view, the less bokeh effect you will get.
Try this at you leisure, set up an inanimate subject, anything... a can of soup, set of bongos, your ex-girlfriend.... Have the background a minimum of at least 5 feet from the subject. With camera-to-subject and subject-to-background remaining constant, take test shots at varying, but precise, focal lengths.... say 18mm, 50mm, 85mm, 100mm, 135mm. All at the same aperture. So if your maximum aperture at 135mm is f/5.6, set all shots at f/5.6. This should give you an idea of what part focal length plays with the blurred background. Of course the next excercise will be to keep the maximum aperture at those same focal lengths and that will tell you what your lens is capable of.
Just a thought. Someone else will come along and have a better idea.
