#1
Should i learn chords or how to finger pick and read music first. I am sorry if this is a dumb question.
#2
I learned chords first because I thought it was more fun. Thats what it comes down to, whatever you feel is more fun. Learn basic chords shapes. Am, G, C, F, D, Dm. Em, E and just go with it.

Also learn some scales and such. It helps alot. If you like to just jam or want to write music it helps a great deal.

http://www.guitarists.net/scales/index.php?note=4&scale=6

Thats a great website.
#3
personally i say theory/read music, thats what i started with and it has helped me a lot, plus you know why your playing which notes in which chords and stuff
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