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Watch the Learning Songs online guitar lesson by Rich Maloof from Acoustic Guitar For Beginners

The key task in reading your first few music charts is to align chords and lyrics. For the purpose of strumming a song, those are the only two elements you need. So, strip away all the other elements on the page and just concern yourself with the chord changes and the words.
Remember what you've learned about counting measures, which will help you keep your place. Tapping your foot can help, too. That way, you might be able to hear exactly where a lyric and a chord change happen at the same time (i.e., on which beat).
Start with a song you know well. You may even want to listen to the recording first while reading along to the written music. Then play it back again, this time noticing how the lyrics fall within the measures. Then once more, following the chord changes. See if you can hear a chord change and anticipate the next one.