This bright little folk song requires a capo at the second fret. Before putting the capo on you also need to tune your Low E string up by 1 fret to F:

Low F : A : D : G : B : E

This is an unusual tuning, it's rare that the Low E string is tuned upwards. However, it's easily done. Play the note on fret 3 of the D string - this is F. And use that to tune your Low E string up by 1 fret to F. Get it so that both notes give the same tone. Then plonk your capo on at fret 2.

Travis picking - This song involves fingerpicking through chord progressions. It uses a variation of a fingerpicking style called Travis picking. That just means using the thumb to alternate bass notes while the fingers play the higher notes of each chord. There is generally a pattern to the picking (although it can vary now and again, just to include different notes and sound nice). The basic pattern for the song is:

T/2 - T - 1 - T - 2 - T (repeat)

You can learn more about fingerpicking here. Basically, this is the picking pattern applied to each bar of the music. Between each bar there is usually a change of notes / chords with your fretboard hand. The fingerpicking pattern remains the same, or very similar.

T/2 means playing Thumb and 2nd finger together. The rest are singly picked. Also, the first and last notes are held for twice as long as the notes inbetween. This gives you a little extra time to change chord shapes on the fretboard. And sounds nice.

First progression - This is 4 bars. So the same fingerpicking pattern is repeated 4 times. Each bar involves slightly different chord changes for the fretboard hand:

Bar 1 (B major) - Bar 2 (B6) - Bar 3 (E minor) - Bar 4 (E sus2) (4 times)

Just do the first bar over and over until you get the hang of it. Once your fingerpicking hand is used to the pattern, then start working through the rest of the song. It will come a lot faster if you practice that way.

Second Progression - This little progression is based all around the F# major chord. The fingerpicking is a little different here, but not by much. It varies a little to include different notes. Just watch out for the hammer on.

Third Progression - Back to the same picking pattern we saw in the first progression again, this time switching between these 2 basic chord types:

E major - E major - E sus4 - E major - E sus4 (notice it drops back to the E major for the last 2 notes - just remove your little finger)

B major - B major - B sus4 - B major - B sus2 (repeat)

And that is all the main song parts, just rinse and repeat as much as you like!